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BUSINESS 
EMPLOYMENTS 

ALLEN 


ii-  i 


Digitized  by  the  Internet  Archive 

in  2007  with  funding  from 

IVIicrosoft  Corporation 


http://www.archive.org/details/businessemploymeOOallerich 


BUSINESS  EMPLOYMENTS 


BY 


FEEDEKICK  J.  ALLEN,  A.M. 

INVESTIGATOR  OF  OCCUPATIONS  FOR  THE  VOCATION  BUREAU  OF 

BOSTON,  AND  AUTHOR  OF  "  THE  LAW  AS  A  VOCATION," 

"THE   SHOE  INDUSTRY,"   AND  OTHER 

VOCATIONAL  STUDIES 


GINN  AND  COMPANY 

BOSTON    •    NEW  YORK    •    CHICAGO    •    LONDON 
ATLANTA    •    DALLAS    •    COLUMBUS    •    SAN  FRANCISCO 


COPYRIGHT,  1916,  BY  THE  VOCATION  BUREAU  OF  BOSTON 

ALL  RIGHTS  RESERVED 

116.2 


535fc 


'^> 


GINN  AND  COMPANY  •  PRO- 
PRIETORS •  BOSTON  •  U.S.A. 


PREFACE 

When  a  young  man  faces  the  world  and  has  to  make 
his  choice  of  a  way  to  earn  his  living,  three  roads  open 
before  him,  broadly  speaking.  The  first  is  business, 
with  its  many  lines.  The  second  is  that  of  the  indus- 
tries, which  include  all  skilled  and  unskilled  labor  in  the 
manufacturing  and  building  trades  and  in  agriculture. 
The  third  is  that  of  the  professions,  such  as  engineering, 
teaching,  law,  medicine,  journalism,  and  the  fine  arts. 

This  volume  deals  with  the  first  of  these  divisions.  It 
discusses  the  opportunities  for  employment  in  business. 

But  business  itself  divides  into  three  branches  —  Manu- 
facture, Trade,  and  Finance.  Manufacturing  has  a  busi- 
ness side  which  is  just  as  important  as  the  actual  work 
of  making  things.  Trade  is  buying  and  selling.  Store- 
keeping,  wholesale  and  retail,  is  another  name  for  it. 
Finance  is  that  branch  of  business  which  collects  and 
preserves  and  distributes  the  supply  of  money  on  which 
the  business  world  depends.  We  are  most  familiar  with 
it  in  the  form  of  Banking. 

In  this  book,  then,  is  collected  a  large  amount  of 
information  about  the  business  of  manufacturing,  the 
business  of  trading,  and  the  business  of  finance.  This 
has  been  gathered  during  an  investigation  which  covered 
several  years  and  extended  along  many  lines.  It 
embodies   the   facts    about   business    pursuits   brought 

iii 

355212 


iv  BUSINESS  EMPLOYMENTS 

together  by  the  Vocation  Bureau  from  its  studies  of 
many  occupations,  from  that  of  the  machinist  to  that 
of  the  lawyer. 

You  will  find  that  this  book  presents  an  intensive 
study  of  three  definite  business  lines  which  include  and 
typify  the  general  activities  of  the  business  world.  The 
business  side  of  manufacture  is  treated  with  shoe  manu- 
facture as  a  concrete  example.  Modern  retail  trade  is 
illustrated  by  the  department  store.  Finance,  of  course, 
is  illustrated  by  a  study  of  banking  institutions. 

The  manufacturing  industries  include  all  mechanical 
or  manual  occupations;  retail  trade  is  typical  of  mercan- 
tile and  commercial  occupations ;  banking  is  the  center 
of  all  pursuits  whose  nature  is  distinctly  financial.  Hence 
the  organization  of  business  firms  and  corporations,  the 
functions  and  responsibihties  of  the  various  officers  and 
business  employees,  the  earnings,  opportunities  for  ad- 
vancement, and  requirements  for  success,  as  set  forth 
in  these  pages,  are  probably  in  large  degree  those  found 
in  business  employments  throughout  the  field  of  human 
activity. 

Such  is  the  method  of  this  book.  Its  purpose  is  to 
enable  young  men  to  choose  intelligently  between  busi- 
ness and  other  pursuits,  to  help  make  business  em- 
ployees more  efficient,  and  so  to  render  some  service  to 
those  who    are   interested    in  the   problems    of   career 

building. 

FREDERICK  J.  ALLEN 

The  Vocation  Bureau,  Boston 


CONTENTS 


PART  ONE.    EMPLOYMENT   OPPORTUNITIES   ON 
THE  BUSINESS  SIDE  OF  MANUFACTURE 

PAGE 

CHAPTER    I.     BUSINESS    ORGANIZATION    IN    MANU- 
FACTURE :   THE  EXECUTIVE  OFFICES 6 


Choice  of  Vocation  like  Making  an  Investment,  5 — 
Growth  of  the  Manufacturing  Industries,  6  —  Enlargement 
of  Attendant  Business,  7  —  Organization  in  Manufacture,  8 

—  Dissecting  an  Industry  :  the  Use  of  Charts,  9  —  The  Shoe 
Industry,  10 —  Chart  of  Organization  in  Manufacture,  11  — 
Organization  in  Shoe  Manufacture,  12  —  Stockholders,  14  — 
The  Manufacturing  Corporation,  14  —  Officers,  14  —  Board 
of  Directors,  15  —  Executive  Committee,  16  —  General 
Manager,  16 — Mill  Agent,  16  —  Chairman  of  the  Board  of 
Directors,  17  — Secretary  to  the  President,  or  Secretary  to 
the  Corporation,  17  —  Assistant  to  the  President,  18  — 
Responsibility  of  the  Head  of  a  Concern,  19  —  Efficiency 
Manager,  19  —  Efficiency  Engineer,  19  —  Professional  Effi- 
ciency Expert,  20  —  Line  Organization  and  Staff  Organiza- 
tion, 21  —  Scientific  Management,  21  —  Chart  -  of  Staff 
Organization  in  Manufacture,  22  —  Requirements  for 
Executive  Officers,  23  —  Salaries  of  Officers,  24  —  Executive 
Offices,  25  —  Employment  Opportunities  in  Executive 
Offices,  25  —  Employment  or  Labor  Department,  25  —  Em- 
ployment-Department Methods,  26  —  Application  Forms, 
26-28— Employee's  Record  Cards,  29, 30, 33— Typical  Regu- 
lations for  Employees,  30-33  —  Training  of  Employees,  33 

—  A  Division  of  the  Department,  33  —  A  Central  Employ- 
ment Office,  34  —  Positions  in  Employment  Department,  34 

—  Employment  Manager,  34  —  The  Supply  of  Labor,  35  — 
The  Turn-Over  of  Labor,  36 — The  Employment  Problem, 
37  — The  Industrial  Counselor,  38  — The  Industrial  De- 
velopment Expert,  38 


vi  BUSINESS  EMPLOYMENTS 

PAGE 

CHAPTER  II.  THE  GENERAL  OFFIGES 39 

The  General  Offices,  39  — The  Office  Manager,  39  — Chart 
of  the  General  Offices  of  a  Manufacturing  Company,  40  — 
The  Order  Department,  41  —  The  Receipt  and  Handling  of 
Orders,  41  —  Order  Eorm,  42  —  Special  Schedule  and  the 
Day  Sheet,  43  —  A  Typical  Day  Sheet,  43,  44  —  Positions  in 
the  Order  Department,  44  —  The  Correspondence  Depart- 
ment, 44  —  Positions  in  the  Correspondence  Department, 
45  —  The  Stenographic  Department,  45  —  The  Bookkeeping 
Department,  45  —  Positions  in  the  Bookkeeping  Depart- 
ment, 46  — A  Typical  Balance  Sheet,  46,  48,  49  — The 
Credit  and  Collection  Department,  46  —  Positions  in  the 
Credit  and  Collection  Department,  46  —  The  Credit  Man- 
ager, 47  —  A  Statement  from  an  Employer,  50  —  The  Pur- 
chasing Department,  50  —  Positions  in  the  Purchasing 
Department,  51 — The  Purchasing  Agent,  51 — The  Receiv- 
ing Department,  52  —  The  Job  Room,  53  —  Positions  in  the 
Receiving  Department,  53  —  The  Publicity  Department,  53 
—  General  Advertising,  54  —  Local  Advertising,  55  —  The 
Art  Department,  55  —  The  Advertising  Manager,  56  —  The 
Display  Rooms,  56  —  Positions  in  the  Advertising  Depart- 
ment, 56  —  The  Mailing  Department,  57  —  Positions  in  the 
Mailing  Department,  57  —  The  Sales  Department,  58  — 
Other  Methods  of  Securing  Business,  59  —  A  Statistical 
Division,  60  —  The  Sample  Rooms  or  Sample  Department, 
60  —  Positions  in  the  Sales  Department,  60  — The  Sales 
Manager,  61 — The  Traveling  Salesman,  61 — Educational 
or  Other  Requirement,  62  —  A  Typical  Quotation,  62  —  A 
Salesman's  Advantages,  63  — A  Salesman's  Pay  and  Rou- 
tine, 63  —  Disadvantages  in  a  Salesman's  Life,  65  —  The 
Rise  of  the  Modern  Traveling  Salesman,  66  —  The  Other 
Business  Departments,  67 — The  Information  Office,  68  — 
Requirements  for  Service  in  the  General  Offices,  68  —  Train- 
ing and  Promotion  in  the  Business  Offices,  69 

CHAPTER  III.  THE  FACTORY  OFFICES 71 

Factory  Routine,  71  —  The  Factory  Offices,  72  —  Chart  of 
the  Factory  Offices  of  a  Manufacturing  Company,  73  —  The 
Department  of  Advance  Information,  74  —  Positions  in 
the  Department  of  Advance  Information,  75  —  The  Tag 


CONTENTS  vii 

PAGE 

Department,  75  —  The  Foreman's  Tag,  75,  76  —  Positions  in 
the  Tag  Department,  76  —  The  Dispatch  Department,  76  — 
The  Day-Sheet  Section  of  the  Dispatch  Department,  77  — 
The  Tracing  Section  of  the  Dispatch  Department,  78  —  Po- 
sitions in  the  Dispatch  Department,  78  —  The  Efficiency 
Department,  78  —  Example  of  a  Eirm  Conducting  Efficiency 
Work,  79  —  A  Conservative  View  of  Efficiency  Work,  79  — 
Positions  in  the  Efficiency  Department,  80  —  The  Raw- 
Material  Office  or  Department :  Upper-Leather  Office,  80  — 
Positions  in  the  Upper-Leather  Office,  81  —  The  Supply 
Department,  81  —  Positions  in  the  Supply  Department,  82 
—  A  Typical  Requisition  Form,  82 — The  Schedule  Depart- 
ment, 82  —  Positions  in  the  Schedule  Department,  83  —  The 
Checking  Department,  83  —  Positions  in  the  Checking  De- 
partment, 83  —  The  Pay-Roil  Department,  83  —  Employee's 
Weekly  Record  Card,  84  —  Piece-Worker's  Card,  85  — 
Positions  in  the  Pay-Roll  Department,  85  —  The  Cost 
Department,  86  —  The  Expense  Department,  86  —  The 
Messenger  Service,  87  —  Promotions  from  the  Messenger 
Service,  87  —  Industrial  Service,  88 — Positions  in  the 
Industrial-Service  Department,  89  —  The  Requirements  for 
Service  in  the  Factory  Offices,  90 

CHAPTER  IV.    THE    MANUFACTURING   INDUSTRIES: 
STATISTICS 91 

The  Purpose  of  this  Chapter,  91  —  The  Nature  of  Manu- 
facture, 91  —  The  Thirteenth  Census,  91  —  Earlier  Censuses, 
92  — The  Figures  for  1909,  92  — The  Increase  from  1899  to 
1909,  92  —  Comparison  of  Earnings  on  the  Business  Side 
and  on  the  Manufacturing  Side,  93  —  The  Probable  Increase 
since  1909,  94  —  Explanation  of  Census  Statistics,  94  —  In- 
dustrial Statistics  and  Business  Opportunities,  96  —  Value 
of  Products,  by  Industries  :  1909  and  1899,  97  —  Continental 
United  States  and  Noncontiguous  Territory  :  1909,  98  — 
General  Comparison  for  the  United  States :  1909, 1904,  and 
1899, 99  —  Comparison  with  Earlier  Censuses,  100 —  Accom- 
panying Statement,  101  —  Manufacturing  Centers  of  the 
United  States,  102  —  Per  Cent  Distribution  of  Average 
Number  of  Wage  Earners,  by  Industries  :  1909,  103  —  List 
of  the  States  according  to  Numbers  of  Wage  Earners  in 


viii  BUSINESS  EMPLOYMENTS 

PAGE 

Manufacture:  1909,  104  —  List  of  Leading  Cities  in  the 
United  States  according  to  Numbers  of  Wage  Earners  in 
Manufacture  :  1909, 105  —  Distribution  according  to  Size  of 
Communities,  106- —  Summary  of  Persons  engaged  in  Man- 
ufacture in  the  United  States :  1909,  107  —  Comparison  of 
Occupational  Status  of  1904  and  1909,  108  —  Sex  and  Age 
Distribution  by  Industries,  108  —  The  Percentage  of  Persons 
on  the  Business  Side  of  Manufacture,  109 


PAET  TWO.  MODEEN  RETAIL  TEADE  AS  ILLUS- 
TRATED BY  THE  DEPARTMENT  STORE 

CHAPTER  V.   THE  DEPARTMENT  STORE 113 

Its  Nature,  113  — From  the  Public  Point  of  View,  114  — 
The  Rise  of  the  Department  Store,  116  —  Competition,  117 

—  Future,  117  — Method  of  Treatment,  118  — Chart  of 
Department-Store  Organization,  119  —  Four  Major  Divi- 
sions,119 — Departmentsof  Merchandise,  120 — TheGeneral 
Manager,  120  —  The  Board  of  Managers,  121 

CHAPTER  VI.    MERCHANDISING  OR  BUYING     ....     122 

The  Receiving  Room,  122  — The  Marking  Room,  123  — 
The  Stock  Room,  123  — The  Division  of  Buying,  123  — The 
Buyer,  124  —  The  Assistant  Buyer,  125  —  The  Merchandise 
Manager,  125  —  The  Assistant  Merchandise  Manager,  126  — 
Diagram  of  the  Merchandise  Department,  127  —  The  Boy 
in  the  Merchandise  Department,  127 

CHAPTER  VII.    SUPERINTENDING  AND  SELLING     .    .     129 

Divisions  and  Positions,  129  —  Employment  Office,  129  — 
Floor  Superintending,  130  —  Selling  and  its  Positions,  130 

—  The  Educational  Department,  131 — The  Division  of  Ex- 
pense, 131  — The  Division  of  Supply  and  Construction,  131 

—  The  Mail-Order  Department,  132  —  The  Delivery  System, 
132  —  The  More  Important  Positions  and  Features  of  Super- 
intending and  Selling,  132  — The  Store  Manager,  133  — 
Diagram  of  Store  Management,  133, 134 — The  Store  Super- 
intendent, 133  —  The  Floor  Manager,  135  —  Requirements 


CONTENTS  .  ix 

PAGE 

for  Successful  Salesmanship,  135  —  Diagram  of  Salesman- 
ship Requirements,  136  —  The  Boy  in  the  Selling  Depart- 
ment, 136  — The  Basis  of  Pay  in  Selling,  137 

CHAPTER  VIII.    THE  OFFICE  DEPARTMENT      ....     138 

Its  Nature,  138  —  Simple  Office  Divisions,  138  —  Divisions 
in  Ofi&ce  Work  in  the  Highly  Organized  Store  :  1.  The 
Credit  and  Collection  Department,  138 ;  2.  The  Charge 
Account  Bookkeeping,  139  ;  3.  The  Cashier's  Office  or  Ac- 
counting Room,  139 ;  4.  The  C.O.D.  Division,  139 ;  5.  The 
Auditing  Department,  139  ;  6.  The  Purchase-Records  De- 
partment, 139 ;  7.  The  Payment  Department,  139 ;  8.  The 
Stock-Record  Department,  140 ;  9.  The  Statistical  Depart- 
ment, 140 — Diagram  of  the  Office  Department,  140  —  Po- 
sitions in  the  Office  Department  in  the  Highly  Organized 
Store,  140  —  The  Bookkeeper,  141 — An  Actual  Case  of 
Advancement,  141  —  The  Boy  in  the  Office  Department,  142 

CHAPTER  IX.   THE  ADVERTISING  DEPARTMENT    .    .     143 

Its  Nature,  143  —  The  Modern  Trend,  143  —  Divisions  in 
Store  Advertising,  144  —  Positions,  144  —  The  Publicity 
Manager,  144  —  Diagram  of  the  Advertising  Department, 
145  —  Important  Assistant  Positions,  145  —  The  Boy  in  the 
Advertising  Department,  146  —  Work  Producmg  Advertis- 
ing Men,  147 

CHAPTER  X.    CONDITIONS  OF  SERVICE       148 

Hours  of  Employment,  148  —  Seasonal  Increase  in  Trade, 
148 — Seasonal  Increase  and  Decrease  in  the  Number  of 
Employees,  148  —  Diagram  of  Seasonal  Changes,  149  — 
Vacation,  150  —  Physical  Conditions,  150  —  Influences 
Making  for  Fatigue,  150 — Competition  in  Service,  151  — 
Where  the  Way  Divides,  151 

CHAPTER  XI.    SOCIAL-SERVICE  WORK 153 

The  Nature  of  this  Work,  153  —  Three  Lines  of  Oppor- 
tunity, 154  —  Educational  Training,  154  —  The  School  of 
Salesmanship,  154  —  Administrative  Training:  1.  Effi- 
ciency Bulletins,  155  ;  2.  Merchandise  Conferences,  156 ; 
3.  Efficiency  Records,  156;  4.  School  Enrollment,  156  — 
Social  Features :  1.  A  Mutual-Aid  Association,  157;  2.  An 


X  BUSINESS  EMPLOYMENTS 

FAGB 

Insurance  or  Mutual-Benefit  Association,  157  ;  3.  A  Sav- 
ings-Deposit System,  157 ;  4.  A  Medical  Department,  157 ; 
5.  The  Lecture  Committee,  157 ;  6.  The  Library  Com- 
mittee, 157;  7.  The  Suggestion  Committee,  157;  8.  The 
Entertainment  Committee,  157 ;  9.  The  Club-House  Com- 
mittee, 158  ;  10.  The  Music  Committee,  158 ;  11.  A  Store 
Paper,  158  —  Workers  in  this  Division,  158  —  A  Sample 
Daily  Club  Report,  158-160 

CHAPTER    XII.     THE    EMPLOYEE,     PAY,    AND    PRO- 
MOTION     161 

Suggestions  from  an  Employer  to  Young  Persons  who 
may  wish  to  enter  this  Occupation,  161  —  Some  Qualities 
Required,  163 — Educational  Training,  164 — Pay,  165  — 
.  Promotion,  167 — Advice  from  a  Store  Manager,  168  — 
Actual  Cases  of  Advancement,  169-171  —  Quotation  from 
a  Government  Investigation,  171  —  Summary  of  Positions: 
Members  of  the  Firm  or  Corporation,  or  High  Officials, 
172 ;  The  Merchandise  Department,  173 ;  Superintend- 
ing and  Selling,  173;  The  Office  Department,  175;  The 
Advertising  Department,  175 — Positions  not  limited  to 
the  Department  Store,  176  — The  Furrier,  176  —  The 
Store  Detective,  176  —  Additional  Activities,  176 — Heads 
of  Factories,  177  —  Statistics  from  the  Thirteenth  Census 
of  the  United  States:  Number  and  Proportion  of  Per- 
sons in  the  General  Divisions  of  Occupations.  Number 
and  Per  Cent  of  Distribution,  1910,  Table  8, 178  ;  Number 
and  Proportion  of  Persons  in  the  General  Divisions  of 
Occupations.  Number  and  Per  Cent  of  Distribution  by 
Decades,  1880-1890,  Table  9,  179  ;  Distribution  by  General 
Divisions  of  Persons  10  Years  of  Age  and  Over  Engaged  in 
Gainful  Occupations  by  Divisions  and  States,  1910.  Trade 
and  Transportation,  Table  10,  180,  181  ;  Number  of  Per- 
sons 10  Years  of  Age  and  Over  Engaged  in  Specified  Occu- 
pations. Arranged  According  to  the  Classification  of  1900, 
for  Both  Sexes  and  for  Each  Sex  separately,  1880-1910, 
Table  15,  182,  183 


CONTENTS  xi 

PAET  THREE.   FINANCE  AS  ILLUSTRATED 
BY  BANKING 

PAGE 

CHAPTER  XIII.  BANKING 187 

The  Business  :  Its  Nature,  Divisions,  and  Future,  187-190 

—  The  Board  of  Directors,  190  —  Executive  Officers,  190  — 
The  President  and  Vice  President,  190  —  The  Cashier  and 
Assistant  Cashier,  191  —  Departments  of  Bank  Work,  191 

—  The  Paying  Teller,  192  — The  Receiving  Teller,  192  — 
Discount  Clerk,  192  —  Collection  Clerk,  193  —  Correspond- 
ing Clerk,  193  — Mail  Clerk,  193  — Exchange  Clerk,  193  — 
The  Bookkeeping  Department,  193  —  The  Head  Book- 
keeper, 194  —  The  General  Bookkeeper,  194  —  The  Auditor, 
194  —  The  Department  of  Advertising,  194  —  The  Advertis- 
ing Manager  and  his  Assistants,  195  —  Pay,  Positions,  and 
Opportunities,  195  —  The  Boy;  Qualities  and  Training 
Required,  196  —  Suggestions  from  a  Banker  to  a  Boy  who 
•wishes  to  enter  this  Occupation,  196,  197  —  The  Annual 
Report  of  the  Comptroller  of  the  Currency,  198  —  Statistics 
Compiled  from  the  Reports  of  the  United  States  Comp- 
troller of  the  Currency  for  1900, 1905,  and  1910  :  A.  Growth 
in  Numbers  of  Banks,  1900,  1995,  and  1910, 199  ;  B.  Growth 
of  National  Banks  from  1900  to  1910,  199 ;  C.  Chief  Items 
of  the  Aggregate  Resources  and  Liabilities  of  National 
Banks  in  1900,  1905,  and  1910,  200  ;  D.  Chief  Items  of  the 
Aggregate  Resources  and  Liabilities  of  State  Banks  for 
1910,  200 ;  E.  Chief  Items  of  the  Aggregate  Resources  and 
Liabilities  of  Loan  and  Trust  Companies  in  1910,  200 ; 
F.  Number  of  Savings  Banks  in  the  United  States,  Number 
of  Depositors,  etc.,  1900-1910,  201  — Other  Forms  of  Busi- 
ness, 201 

BIBLIOGRAPHY 203 

BUSINESS  AND  TRADE  JOURNALS 209 

INDEX 213 


BUSINESS  EMPLOYMENTS 


I 


PART  ONE 

EMPLOYMENT  OPPORTUNITIES  ON  THE 
BUSINESS  SIDE  OF  MANUFACTURE 


PAET  ONE 

CHAPTER  I 

BUSINESS  OEGANIZATION  IN  MANUFACTUEE 

The  Executive  Offices 

Choice  of  Vocation  like  Making  an  Investment.  Gathered 
around  the  evening  lamp,  members  of  the  family  often 
discuss  the  opportunities  for  employment  in  the  neigh- 
borhood. The  future  of  the  younger  members  appears  to 
their  parents  and  themselves  in  the  light  of  an  invest- 
ment. Mills  and  workshops  around  them  may  offer  op- 
portunities for  the  ambitious  and  serious.  The  boy  still 
in  school  is  aware  that  men  a  few  years  older  than  he 
have  started  from  small  positions  in  either  the  mechan- 
ical or  the  business  departments  of  local  factories  and 
that  they  are  now  doing  useful  work  in  the  world  at 
good  wages  or  salaries.  On  the  eve  of  graduation  from 
grammar  school,  high  school,  or  college  he  naturally 
wants  to  know  where  he  may  find  his  right  place  in  life. 

One  of  the  things  a  good  business  man  wants  to  know 
about  a  proposed  undertaking  is  whether  it  is  in  a 
declining,  a  stagnant,  or  a  developing  state.  Suppose, 
for  instance,  an  investment  is  to  be  made  in  real  estate. 
Few  men  care  to  buy  land  in  a  locality  where  values  are 
steadily  decreasing.   Nor  does  an  investor,  of  preference, 

6 


'6-  BUSf^'ES.S^EMPLOYMENTS 

buy  land  in  a  dead  locality,  where  values  through  a 
term  of  years  have  not  increased  or  decreased  to  any 
marked  extent.  Good  sense  suggests  investment  in  a 
locahty  where  values  are  increasiag  with  the  steady 
progress  which  marks  natural  growth. 

When  a  young  man  takes  up  his  work  in  the  world 
he  brings  with  him  something  of  great  worth.  His  work- 
ing life  is  limited  to  a  longer  or  shorter  period.  His 
abilities  and  his  energy  are  in  a  sense  his  capital.  His 
earnings  are  the  interest  society  pays  him  for  the  use  of 
them.  He  too  is  an  investor.  And,  like  the  purchaser 
of  real  estate,  it  behooves  him  in  choosing  his  vocation 
to  consider,  among  other  things,  whether  he  is  direct- 
ing his  energy  and  abilities  into  a  field  of  declining, 
stagnant,  or  increasing  opportunities. 

Growth  of  the  Manufacturing  Industries.  It  is  not 
strange  if  the  boy  or  young  man  who  has  decided  upon 
a  business  career  wishes  to  be  connected  with  the  execu- 
tive offices  of  a  mill  or  factory.  The  world  has  many 
opportunities  for  people  who  can  ^direct  or  manage  a 
factory  or  department  of  a  factory,  and  under  these  is  an 
ever-increasing  number  of  positions  to  be  filled  by  capable, 
well-educated  workers.  The  United  States,  as  we  shall 
see  in  statistical  detail  in  a  chapter  to  follow,  becomes 
year  by  year  more  a  manufacturing  nation. 

The  manufacturing  industries  are  a  field  of  increasing 
opportunities.  Within  the  era  of  active  invention,  in 
which  we  are  living,  their  growth  has  been  great  and 
rapid.  In  the  early  years  of  the  nineteenth  century 
labor-saving  machinery  was  introduced  into  manufacture, 
and  it  brought  about  an  almost  universal  change  and 


BUSINESS  OEGANIZATION  7 

expansion.  Every  year  now  an  increasing  number  of 
inventions  carries  us  farther  away  from  the  days  of 
making  things  by  hand.  Little  shops  have  become  fac- 
tories. The  village  tailor  gives  way  to  the  retail  clothier. 
The  rural  sawmill  is  still  busy,  but  it  has  an  active 
competitor  in  the  vast  works  where  Portland  cement  is 
made  by  the  millions  of  barrels,  to  reappear  in  concrete 
houses,  bridges,  and  factories.  Fifty  years  ago  electricity, 
except  for  its  use  in  telegraphy,  was  a  motive  power  for 
playthings  only.  To-day  hundreds  of  millions  of  dollars 
have  been  invested  in  shops  that  make  electrical  ap- 
pliances of  one  kind  and  another.  Only  twenty  years 
prior  to  this  writing  not  a  single  factory  was  regularly 
building  and  selling  gasoline  engines,  phonographs,  or 
piano  players. 

Enlargement  of  Attendant  Business.  The  growth  of 
manufacturing  has  involved  a  corresponding  growth  of 
the  business  directly  connected  with  manufacturing. 
Raw  material  must  be  secured,  sometimes  by  shipment 
from  the  most  distant  markets  of  the  world,  sometimes 
by  establishing  subsidiary  factories.  An  example  of  the 
latter  case  is  the  great  mills  which  supply  wood  pulp  to 
the  paper  manufacturers.  The  raw  material  must  be 
stored  and  cared  for,  and  made  to  flow  steadily  into 
the  departments  of  manufacture  ;  while  at  the  other  end 
the  emerging  stream  of  finished  product  must  be  distrib- 
uted with  equal  care  and  economy.  A  factory  must  sell 
its  output,  and  deliver  it  to  the  buyer  according  to  the 
terms  of  the   contract. 

There  are  many  activities  on  the  purely  monetary 
side,  as  well.     The  corporation   or  company  must  be 


8  BUSINESS  EMPLOYMENTS 

financed.  Provision  must  be  made  to  pay  for  the  mate- 
rials used,  for  the  services  of  the  workmen  and  the  office 
forces,  and  for  the  costs  connected  with  the  running  of 
the  plant.  Fuel,  repairs,  and  insurance  are  among  such 
costs.  Collections  must  be  made  for  all  goods  sold. 
Records  of  all  business  transactions  must  be  kept; 
and  the  net  profits  must  be  maintained  at  a  safe  level. 

The  number  of  commercial  positions  in  manufactur- 
ing enterprises  has  increased  so  largely  that  we  are  quite 
justified  in  describing  these  separately,  for  the  benefit  of 
those  who  wish  to  know  just  what  is  before  the  young 
person  with  an  ambition  for  a  business  career. 

Organization  in  Manufacture.  The  features  of  business 
connected  with  modern  manufacture  are  very  numerous 
and  varied.  To  understand  them,  and  to  gain  an  intelli- 
gent notion  of  the  opportunities  for  employment  which 
they  open,  it  is  necessary  to  know  something  of  the  way 
in  which  manufacture  is  organized  at  the  present  day. 

A  small  factory  may  have  a  very  simple  organization. 
The  proprietor  or  owner,  with  a  few  assistants  in  the 
office  and  on  the  road  as  salesmen,  himseK  acting  as 
superintendent  or  employing  a  general  superintendent, 
may  control  all  the  business  features  of  the  establish- 
ment. There  are  many  such  establishments  throughout 
the  land;  often  they  are  in  the  hands  of  some  skilled 
worker  who  has  made  a  market  for  a  specialty  of  his 
own.  A  good  instance  from  the  iron  trade  is  one  of  a 
shop  where  wrought  and  bent  iron  of  exquisite  finish 
is  made  for  architectural  uses,  ornamental  gates  and 
fences,  exceptionally  fine  hardware,  and  fire-flue  acces- 
sories.   This  is  the  plant  of  a  craftsman  manufacturer. 


BUSINESS  OEGANIZATION  9 

Another  shop  is  devoted  to  the  making  of  a  specially 
clarified  steel  for  fine  instruments.  The  process  is  more 
or  less  secret,  and  the  business  can  have  only  a  very 
simple  organization. 

Thousands  of  little  manufactories  of  this  simple  type 
might  be  cited.  Yet  modern  industry  as  a  whole  runs 
more  and  more  to  big  enterprises,  in  which  hundreds  of 
thousands  or  millions  of  dollars  have  been  invested,  and 
which  employ  small  armies  of  clerks  and  bookkeepers 
and  other  salaried  people. 

Responsibility  for  the  management  of  the  large  man- 
ufacturing plants  to  which  we  are  accustomed  has  to 
be  divided  among  many  men.  A  typical  modern  factory, 
therefore,  is  usually  highly  organized;  that  is,  it  is 
divided  into  a  great  many  departments  and  subdepart- 
ments,  precisely  as  our  bodies  are  made  up  of  many 
organs  and  tissues  of  quite  different  sorts  and  functions, 
yet  all  working  together  to  one  end. 

It  requires  patient  study  to  find  out  how  the  human 
body  is  organized,  and  how  the  different  organs  in  it  do 
their  work.  It  requires  similar  study  to  find  out  how 
an  industry  is  organized  and  what  function  each  of  the 
many  departments  in  it  has.  If  you  are  trying  to  make 
a  choice  of  a  vocation  such  study  is  worth  while.  Unless 
you  understand  how  a  factory  is  organized,  you  cannot 
hope  to  know  what  opportunities  lie  before  you  when 
you  seek  employment  on  the  business  side  of  it. 

Dissecting  an  Industry :  the  Use  of  Charts.  The  easiest 
way  to  gain  an  understanding  of  something  complicated 
is  to  take  it  apart.  That  is  the  way  botanists  find  out 
about  the  structure  and  the  working  of  a  plant. 


10  BUSINESS  EMPLOYMENTS 

In  just  the  same  way,  in  order  to  understand  the 
structure  of  an  industrial  organism,  a  shop  or  factory, 
you  must  take  it  apart.  You  must  dissect  it.  And 
to  dissect  a  thing  hke  an  industry  you  may  begin  by 
making  what  is  called  a  chart  of  it. 

Such  a  chart  is  printed  on  the  opposite  page.  It  is 
a  typical  organization  for  manufacture,  and  might  repre- 
sent any  large  mdustry,  or  even  a  machme  shop,  a 
structural  steel  works,  or  an  automobile  factory.  For 
the  sake  of  being  definite,  let  us  suppose  that  it  repre- 
sents the  shoe  industry. 

The  Shoe  Industry.  There  are  several  reasons  for 
selecting  the  shoe  industry  as  an  example.  In  the  first 
place,  shoemaking  is  intensely  specialized ;  that  is,  most 
factories  confine  their  output  to  one  particular  shoe  or 
to  a  few  styles  and  kinds  only,  building  up  a  trade 
along  those  particular  lines.  Tastes  and  customs,  styles 
and  seasons,  in  this  country  and  abroad,  not  only  make 
this  specializing  possible,  but  make  it  the  natural  course 
to  follow  in  an  industry  reaching  all  quarters  of  the 
globe.  So  we  shall  be  studying  an  industry  that  in  one 
sense  is  very  simple,  —  in  the  sense  that  it  does  not 
produce  and  distribute  a  complex  line  of  products. 

In  the  second  place,  shoe  manufacture  may  be  under- 
taken with  large  or  small  capital.  A  man  who  has 
slight  means  may  establish  a  repair  shop,  may  deal  in 
shoe  findings  and  supplies,  or  may  make  a  special  shoe 
in  small  quantity  by  renting  a  building  or  part  of  a 
building  and  using  rented  shoe  machinery.  A  man  of 
large  means,  a  company  of  men,  or  a  corporation  may 
engage  in  shoe  manufacture  on  a  scale  that  employs 


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12  BUSINESS  EMPLOYMENTS 

thousands  of  people  and  turns  out  many  thousand  pairs 
of  shoes  daily.  In  some  lines  of  industry  there  may  be 
only  one  or  a  few  concerns  in  the  country,  as  in  the 
case  of  the  Standard  Oil  Company,  iron  and  steel 
works,  or  shipyards.  But  there  are  hundreds  of  shoe 
shops.  So  we  shall  be  studying  an  industry  that  is 
widely  distributed  and  that  is  conducted  on  many 
different   scales    of   size. 

Finally,  we  are  chiefly  interested  here  in  the  business 
activities  which  accompany  actual  manufacture,  and  the 
shoe  industry  is  particularly  rich  in  these.  It  presents 
opportunities  for  many  kinds  of  employment ;  for  clerks, 
bookkeepers,  expert  accountants,  buyers,  salesmen,  ex- 
ecutives and  managers,  and  numerous  other  minor  and 
major  positions.  In  a  factory  employing  5000  people, 
as  do  some  shoe  factories,  between  750  and  1000  are 
engaged  in  distinctly  business  activities.  In  other 
words,  from  fifteen  to  twenty  per  cent  of  all  the  people 
connected  with  the  making  of  shoes  are  employed  in 
business  positions.  ^ 

Organization  in  Shoe  Manufacture.  What  these  posi- 
tions are,  how  they  are  related  to  each  other,  what  path- 
ways of  advancement  run  from  one  position  to  another, 
may  be  clearer  if  you  will  study  the  chart  on  page  11. 
First  of  all,  you  will  notice  that  two  different  sorts  of 
type  have  been  used.  The  boxes  at  the  top  and  left- 
hand  side  are  inclosed  by  heavy  lines,  and  their  con- 
tents are  printed  in  roman  letters.  The  boxes  at  the 
right-hand  side   are  inclosed  by  light  lines,  and  their 

1  The  statistics  in  Chapter  IV  extend  these  figures  to  other  lines  of 
industry. 


BUSINESS  OEGANIZATION  13 

contents  are  printed  in  italic  type.  This  has  been  done 
to  show  the  distinction  of  which  we  have  just  been 
speaking.  The  roman  type  represents  the  business  side 
of  the  industry ;  the  itahc  type  represents  the  manu- 
facturing side. 

The  chart,  you  will  notice,  is  made  up  of  three  prin- 
cipal divisions :  the  Executive  Offices,  represented  by 
the  rectangle  at  the  top,  the  Business  Departments, 
composed  of  General  Offices  and  Factory  Offices 
and  represented  by  the  rectangles  at  the  left,  and  the 
Factory  Departments,  represented  by  the  rectangles  at 
the  right. 

Two  departments,  you  will  observe,  do  not  in  this 
chart  fall  under  any  of  the  three  principal  divisions. 
They  are  the  Employment  Department  and  the  Indus- 
trial Service  Department. 

If  you  should  decide  to  apply  for  work  in  the  real 
factory  which  is  represented  by  the  chart,  the  first  part 
of  the  organization  with  which  you  would  come  in  con- 
tact would  be  the  employment  department.  And  if 
you  became  an  employee,  you  would  find  the  industrial 
service  department  ready  to  help  you  improve  yourseM 
as  a  worker  and  a  citizen.  Such  social  work,  or  industrial 
service,  is  becoming  more  and  more  a  feature  of  the 
modern  factory.  In  fact,  as  an  industry  increases  in  size 
and  in  completeness  of  organization,  the  employment 
and  industrial  service  departments  are  likely  to  become 
a  fourth  division  in  its  activities,  and  a  very  important 
division,  since  they  deal  with  the  securing,  training, 
promotion,  and  social  improvement  of  an  efficient  body 
of  employees. 


14  BUSINESS  EMPLOYMENTS 

Stockholders.  To  go  back  to  the  chart,  the  first  part  of 
the  organization  there  indicated  is  made  up  of  the  stock- 
holders. The  proprietors,  or  stockholders,  of  a  factory  are 
the  men  who  have  a  financial  interest  in  the  establish- 
ment. In  some  few  cases  employees  invest  part  of  their 
earnings  in  the  factory,  and  its  ownership  becomes  more 
or  less  cooperative.  Such  employees,  of  course,  are  also 
stockholders.  This  custom  appears  likely  to  become  more 
general,  for  the  few  estabhshments  thus  owned  seem  to 
have  a  more  evenly  busy  year  and  a  higher  average  of 
earnings  than  most  other  factories  in  the  same  lines  of 
manufacture. 

The  Manxifacturing  Corporation.  The  conduct  of  manu- 
facture and  of  business  enterprises  under  the  corporate 
form  is  now  general.  More  and  more  manufactures  are 
conducted  in  the  name  of  groups  of  people  who  each  put 
a  certain  amount  of  money  into  the  undertaking.  These 
are  organized  as  corporations  under  the  laws  of  one  or 
another  of  the  states,  and  the  amount  of  their  contribu- 
tions is  represented  by  shares  of  stock.  These  shares,  of 
course,  may  be  bought  and  sold,  and  it  is  regarded  as 
good  management  to  make  it  easy  for  those  who  work 
m  the  concern  to  buy  stock.  Often  small  weekly  or 
monthly  payments  will  accomplish  this  result. 

Manufacturing  business  could  hardly  be  carried  on 
to-day  if  investors  did  not  join  in  pooling  their  capital 
under  the  form  of  the  corporate  charter. 

Officers.  The  chief  executive  officers  of  a  corporation 
usually  are  directors,  president  or  general  manager, 
secretary,  treasurer,  auditor,  sales  manager,  and  gen- 
eral superintendent.    The  directors  are  elected  by  the 


BUSINESS  OKGANIZATION  16 

stockholders  and  have  the  general  control  of  the  affairs 
of  the  company.  The  du-ectors  choose  the  other  officers, 
including  the  heads  of  the  several  large  departments, 
who  are  in  turn  responsible  for  securing  employees 
in  their  departments,  except  where  there  is  an  employ- 
ment manager  over  all  departments.  The  president  or 
general  manager  is  the  chief  executive  officer,  respon- 
sible for  the  general  management  of  the  business  side  of 
the  industry.  The  treasurer  has  charge  of  all  financial 
affairs.  The  auditor  reviews  and  approves  the  accounts 
of  the  treasurer.  The  general  superintendent  has  charge, 
through  department  heads  and  subordinates,  of  the  gen- 
eral work  of  the  factory  and  of  subsidiary  plants,  or 
usually  of  all  affairs  connected  with  the  industry  aside 
from  those  which  are  of  a  distinctly  business  nature. 

These  are  the  usual  executive  officers  of  an  industry, 
but  there  are  several  positions  that  have  resulted  from 
modern  conditions  in  the  conduct  of  business,  chiefly 
from  the  increasing  magnitude  of  manufacture  and  trade. 
These  deserve  brief  special  description. 

Board  of  Directors.  The  board  of  directors  of  a  manu- 
facturing organization  are  those  persons  chosen  by  the 
stockholders  to  act  as  a  body  in  the  general  control  of 
the  affairs  of  the  concern.  They  select  the  other  officers 
and  determine  the  main  lines  of  policy  to  be  followed. 
They  are  usually  stockholders  and  represent  the  owners. 

Executive  Committee.  Sometimes  the  directors  ap- 
point several  of  their  number  as  an  executive  commit- 
tee, to  act  in  matters  demanding  immediate  attention 
between  board  meetings,  or  regularly  as  an  executive 
board.     The   members  of  this   committee    are    usually 


16  BUSINESS  EMPLOYMENTS 

those  directors  who  are  in  closest  touch  with  conditions 
affecting  a  special  manufacture,  with  its  attendant  busi- 
ness, and  with  the  general  business  world.  They  are 
responsible  to  the  stockholders,  through  the  board  of 
directors,  for  the  prosperity  of  the  company. 

General  Manager.  Every  well-conducted  business  has 
a  definite  head  or  manager.  The  busmess  may  have 
thousands  of  owners.  It  may  have  a  great  army  of  re- 
sponsible officials,  each  in  charge  of  a  department.  It 
may  have  an  executive  committee  of  the  directors  who 
meet  every  day  to  supervise  the  conduct  of  the  busi- 
ness. Yet  as  a  rule  some  one  masterful  mind  dominates 
the  policy  and  execution  of  the  undertaking.  Some- 
body is  made  responsible  for  success  or  failure.  Very 
rarely  does  an  enterprise  continue  for  any  length  of  time 
if  the  responsibilities  are  divided  among  a  number  of 
people  and  the  business  has  no  acting  head. 

,  In  many  large  companies  which  conduct  manufacture 
and  its  attendant  business  under  improved  methods  of 
organization,  there  is  found  a  general  manager  who 
performs  duties  usually  met  by  the  president  of  a 
company.  The  general  manager  is  responsible  for  the 
right  conduct  of  each  department  of  the  business  and 
for  the  success  of  all  departments  working  as  a  whole. 
He  thus  becomes  the  chief  executive  of  the  firm.  He 
must  be  a  man  of  large  experience,  of  all-round  ability 
of  a  high  order,  of  prompt  and  accurate  decision,  tact, 
and  energy. 

Mill  Agent.  In  the  textile  mills  the  general  manager 
is  called  "mill  agent."  A  mill  agent  combines  the  powers 
of  a  manager  on  the  business  side  and  superintendent 


BUSINESS  OEGANIZATION  17 

on  the  manufacturing  side,  and  often  has,  also,  the 
powers  of  other  high  officers.  He  is  the  official  repre- 
sentative of  the  owners  of  the  industry  and  has  abso- 
lute authority  in  all  matters  connected  with  it.  The 
conduct  of  a  manufacture  under  an  agent  does  away 
with  or  greatly  reduces  the  difficulties  of  divided  respon- 
sibility, though  he  may  have  the  usual  number  of  assist- 
ants and  subordinates.  He  is  the  one  person  responsible 
to  the  stockholders,  to  labor,  and  to  the  community 
for  the  right  management  of  the  plant  and  its  attend- 
ant business. 

The  mill  agent  must  be  a  person  of  long  experience 
in  management  and  of  business  acumen.  He  must  know 
men  and  be  able  to  gather  around  himself  a  strong  staff 
of  assistants  as  heads  of  departments.  His  salary  may 
vary  from  |2000  in  some  small  manufacture  to  |10,000, 
|20,000,  or  more  in  a  great  corporation. 

Chairman  of  the  Board  of  Directors.  Still  another  title 
just  coming  into  use,  especially  in  connection  with  the 
great  railroad  systems  of  the  country,  is  "  chairman  of 
the  board  of  directors."  This  official  combines  the 
powers  of  president,  general  manager,  or  other  execu- 
tive officers,  according  to  the  policy  of  the  firm  or  cor- 
poration. He  is  virtually  the  executive  head  of  the 
company. 

Secretary  to  the  President,  or  Secretary  to  the  Corpora- 
tion. In  many  manufacturing  establishments  there  is 
found  another  important  position,  that  of  secretary  to 
the  president,  or  secretary  to  the  corporation.  This  offi- 
cial may  be  a  member  of  the  corporation  or  a  person 
from  outside  the  concern  employed  in  this  capacity.    He 


18  BUSINESS  EMPLOYMENTS 

is  the  recording  officer,  but  in  many  cases  he  may  also 
have  executive  duties  to  perform.  He  often  represents 
the  company  in  the  consideration  of  matters  of  impor- 
tance. He  must  have  systematizing  abihty,  capacity  to 
handle  details,  knowledge  of  the  main  features  of  man- 
ufacture and  of  the  business  side  of  the  industry,  un- 
failing tact,  and  executive  ability. 

The  secretary  is  usually  one  who  has  worked  his  way 
up  through  one  or  several  of  the  business  offices  of  the 
company,  or  one  who  has  had  such  general  business 
experience  that  he  can  master  the  problems  of  a  secre- 
tarial position  in  connection  with  a  particular  manufac- 
ture. Sometimes  his  work  is  really  that  of  a  confidential 
adviser  to  the  head  or  to  the  directors  of  the  company. 

The  position  of  secretary  generally,  commands  a  salary 
commensurate  with  its  importance  among  the  executive 
positions  in  a  manufacturing  company. 

The  executive  officer  of  an  association  of  manufac- 
turers in  a  single  line,  such  as  the  cotton  manufacturers, 
or  of  an  organization  of  business  men  or  traveling  sales- 
men is  also  often  called  its  secretary. 

Assistant  to  the  President.  In  some  cases  there  is 
found  a  position  in  certain  respects  similar  to  that  of 
secretary,  but  broader  in  scope,  —  that  of  assistant  to 
the  president,  or  to  the  head  of  a  company.  The  assist- 
ant relieves  the  president  of  minor  duties,  keeps  him  in- 
formed on  matters  coming  up  for  action  and  on  current 
business  conditions,  and  acts  in  a  general  confidential 
and  executive  capacity.  He  must  have  ability  to  act  for 
the  president  for  longer  or  shorter  periods,  and  may  be 
sometimes  the  virtual  head  of  the  concern. 


BUSINESS  ORGANIZATION  19 

Responsibility  of  the  Head  of  a  Concern.  Upon  the 
ability,  business  methods,  and  personality  of  the  actual 
head  of  a  concern,  whether  president,  general  manager, 
mill  agent,  secretary,  or  assistant,  depend  in  large  meas- 
ure the  success  of  a  company,  the  good  will  of  its  em- 
ployees, and  its  reputation  in  a  community.  Personally 
and  through  his  subordinates  he  touches  the  entire  work- 
ing force  of  office  and  factory. 

Efficiency  Manager.  The  efficiency  manager  is  an 
officer  found  increasingly  in  large  establishments,  both 
in  manufacture  and  in  mercantile  or  other  lines.  He  is 
responsible  f6r  the  maintenance  of  the  most  economical 
Jand  productive  systems  in  both  offices  and  factory.  He 
/  must  see  that  the  right  number  of  persons  are  employed 
in  the  offices,  and  that  each,  so  far  as  possible,  is  es- 
pecially adapted  to  his  duties ;  that  an  advantageous 
division  of  work  is  made ;  and  that  all  duties  are  per- 
formed with  the  greatest  economy  of  time  and  effort. 
When  there  is  no  efficiency  manager  in '  a  concern  the 
office  manager  perfoi'ms  these  functions  in  a  greater 
or  less  degree;  on  the  other  hand,  there  may  be 
two  efficiency  men,  one  for  the  offices  and  another  for 
the  factory. 

The  efficiency  manager  may,  however,  be  a  staff  officer, 
and  have  only  advisory  powers. 

Efficiency  Engineer.  When  the  work  of  the  efficiency 
manager  extends  over  the  factory  he  is  usually  called 
"  efficiency  engineer."  He  must  see  that  waste  of  time, 
material,  or  expense  is  eliminated,  and  that  hand  workers 
or  the  operators  of  machines  are  employed  where  their 
greatest   efficiency  may   be   realized.     He    studies   the 


20  BUSINESS  EMPLOYMENTS 

processes  of  the  factory  in  minute  detail,  advises  or  orders 
changes  in  method  and  the  introduction  of  the  most 
modern  machinery,  and  must  see  that  the  factory  oper- 
ates as  a  unit  for  the  production  of  a  particular  product. 
The  following  quotation  from  a  trade  magazine  shows 
his  supervision  over  machinery: 

The  best  efficiency  engineers  of  the  shoe  industry  are  looking 
for  interchangeable  fixtures,  or  rather  movable  units.  We  have 
this  idea  in  the  sectional  stitching-room  bench,  vv^hich  enables 
the  rearrangement  of  the  machinery  at  any  time  in  accordance 
with  changed  requirements  of  the  business.  The  same  idea  is 
likely  to  be  carried  out  with  other  work  benches,  although  there 
is  likely  to  be  a  lessened  requirement  of  benches,  due  to  increased 
use  of  racks.  The  permanent  character  of  benches  and  racks  has, 
to  some  extent,  had  the  effect  of  preventing  the  rearrangement 
of  machinery,  and  has  had  some  influence  in  causing  some  old- 
established  factories  to  come  to  a  very  uneconomical  condition  of 
cross  fire  in  the  routing  of  the  work  in  many  departments.  With 
interchangeable  bench  units,  movable  benches  and  tables,  and 
with  the  unit  bookcase  idea  applied  to  sole  racks,  it  will  be  pos- 
sible to  rearrange  any  department  at  any  time  to  add  to  the  con- 
venience, to  prevent  wasteful  labor,  and  to  keep  each  department 
and  each  factory  at  the  top  notch  of  efficiency.^ 

Professional  Efficiency  Expert.  The  service  of  the 
efficiency  manager  is  in  a  high  degree  that  of  an  expert 
adviser.  In  many  large  cities  there  are  now  independent 
offices  of  efficiency  experts  who  advise  or  take  charge  of 
efficiency  studies  in  the  general  fields  of  business  and 
industry.  Such  an  expert  may  supervise  the  introduc- 
tion of  a  filing  system  in  an  office,  the  adoption  of  a 
time  schedule  for  an  industrial  plant,  or  the  construc- 
tion of  a  factory. 

^  From  Superintendent  and  Foreman,  Boston,  May  20,  1914. 


BUSINESS  OEGANIZATION  21 

Line  Organization  and  Staff  Organization.  There  are 
two  possible  systems  of  organization  for  business  and 
industry.    Distinctive  names  have  been  given  to  them. 

The  first  and  most  usual  is  that  shown  by  the  chart 
on  page  11.  This  is  called  "  line  organization,"  and  fol- 
lows the  usual  scheme  of  president,  vice  president,  gen- 
eral manager,  secretary,  treasurer,  superintendent,  and 
other  officials  and  employees  down  to  the  messengers. 
Here  we  find  a  definite  gradation  for  position,  service, 
and  responsibility. 

"  Staff  organization  "  is  a  later  term  and  means  that 
other  system  of  organization  by  which  the  head  of  a  con- 
cern, as  president  or  manager,  has  around  him  a  body  or 
staff  of  expert  advisers.  These  advisers  are  practically 
independent  of  one  another  and  responsible  to  the  head 
of  the  concern  only.  Each  one  studies  carefully  and 
minutely  the  work  of  some  one  department  of  business 
or  manufacture,  and  reports  upon  it  with  recommenda- 
tions to  the  manager.  Such  recommendations  have  the 
weight  of  expert  advice  and  enable  the  manager  to  insti- 
tute necessary  changes  in  methods  and  to  maintain  full 
and  balanced  control  over  all  departments.  The  nature 
and  the  scope  of  staff  organization  is  indicated  by  the 
chart  on  page  22. 

Scientific  Management.  "  Scientific  management "  is  a 
term  heard  more  and  more  frequently  in  the  business 
world.  It  means  the  most  economic  adjustment  of  the 
forces  of  production  to  a  definite  end,  and  consists  in 
so  studying  and  directing  the  elements  of  manufacture 
and  of  business  as  to  produce  the  largest  result  with 
the  least  outlay   of  money,  time,  and  labor.     By  the 


22 


BUSINESS  EMPLOYMENTS 


Specialist  on 
Cost  System 
and  Finance 

Specialist  on 
Power,  Heat, 
and  Light 

. 

Specialist  on 
Materials  and 
Sources  of 
Supply 

PRESIDENT  OR 
GENERAL  MANAGER 

Specialist  on 
Maintenance, 
Tools,  and 
Machine 
Equipment 

_w    O    O 
«   fa   B 

S   -  ?> 


CC    O  02  Ph    o    o  Ph 


KB 

cc  O 


BUSINESS  OEGANIZATION  23 

staff  system  of  organization,  with  its  group  of  special- 
ists and  experts  working  side  by  side,  but  each  viewing 
the  whole  establishment  from  a  slightly  different  angle, 
the  management  of  a  concern  is  likely  to  be  the  most 
far-reaching  and  effective. 

Requirements  for  Executive  Officers.  The  courtesy  with 
which  the  head  of  a  great  business  receives  you,  if  there 
is  a  legitimate  reason  for  your  seeing  him,  the  close 
attention  with  which  he  listens,  the  promptness  with 
which  he  makes  a  decision,  and  the  unmistakable  man- 
ner he  assumes  when  he  understands  that  the  interview 
is  properly  at  an  end,  are  very  impressive  to  the  observ- 
ant youth  who  encounters  them  for  the  first  time.  As 
he  realizes  the  system  with  which  the  big  business  man 
arranges  his  working  day  and  the  intense  application 
he  gives  to  each  problem  as  it  comes  up,  he  soon  sees 
that  there  is  much  more  in  being  an  executive  than 
just  drawing  a  salary  and  holding  down  an  office  chair. 
Even  more  impressive  is  it  to  spend  a  day  or  days  in 
the  office  of  the  managing  head  of  a  large  enterprise  and 
to  note  the  energy,  with  which  he  deals  with  a  consider- 
able correspondence,  each  letter  of  which  must  be  dic- 
tated with  close  regard  to  the  fact  that  a  wrongly 
chosen  word  may  cost  the  firm  thousands  of  dollars ; 
the  firmness  with  which  he  deals  with  complaints  and 
charges  of  inferior  work ;  the  diplomacy  with  which  he 
gets  rid  of  visitors  who  are  inclined  to  waste  his  time ; 
and  the  alertness  with  which  he  grasps  the  suggestions 
and  recommendations  contained  in  special  reports  sub- 
mitted by  his  lieutenants. 

The  executive  officers  of  a  company  should,  therefore, 


24  BUSINESS  EMPLOYMENTS 

have  a  thorough  knowledge  of  the  busmess  side  of  the 
industry.  They  usually  have  had  years  of  experience 
in  minor  office  positions.  It  is  always  best,  and  some- 
times necessary,  that  they  should  have  considerable 
knowledge  of  manufacture  also. 

In  earlier  times,  especially  before  the  establishment 
of  courses  in  business  administration  in  the  schools 
and  colleges,  young  men  who  expected  to  become  busi- 
ness managers  often  spent  several  years  in  learning 
the  details  of  a  particular  manufacture.  This  course  is 
frequently  pursued  still.  It  tends  to  make  the  business 
manager  practical  and  likely  to  conduct  the  business 
of  a  factory  along  the  lines  best  adapted  to  its  partic- 
ular product.  At  the  present  time  many  graduates  of 
the  higher  institutions  are  entering  the  business  depart- 
ments of  manufacturing  concerns,  some  of  them  serving 
also  in  the  factory  apprenticeship. 

Business  officers  must  have  high  executive  capacity. 
Except  in  the  case  of  the  treasurer  and  auditor,  who 
should  be  financial  experts,  they  must  keep  informed 
of  general  trade  conditions  and  be  able  to  foresee  prob- 
able changes  and  developments  in  a  particular  field. 

Salaries  of  Officers.  The  salaries  of  the  chief  officers 
in  a  firm  or  corporation  range  from  a  minimum  of  |20 
or  $25  a  week,  in  a  small  factory,  to  |40  or  |50  a  week, 
or  $2500  a  year,  in  a  factory  of  average  size  and  out- 
put. They  may  rise  to  $5000  or  many  thousands  in  a 
large  establishment.  The  yearly  earnings  of  assistant 
officers  and  of  the  auditor  are  somewhat  less  than  those 
of  the  higher  positions.  Persons  working  on  a  yearly 
salary,  as  do  most  of  the  important  officers,  have  this 


BUSINESS  ORGANIZATION  25 

advantage.  They  do  not  suffer  from  the  fluctuations 
and  idle  periods  of  the  manufacturing  year  as  sometimes 
do  the  employees  in  the  factory. 

Executive  Offices.  The  offices  occupied  by  these  offi- 
cials are  by  their  nature  the  executive  offices  of  a  com- 
pany, though  they  are  usually  closely  connected  with 
the  general  offices. 

Employment  Opportunities  in  Executive  Offices.  In  the 
executive  offices  are  employed  private  secretaries,  stenog- 
raphers, operators  of  typewriters,  office  boys,  and  mes- 
sengers. The  duties  of  these  positions  are  like  those 
of  similar  positions  in  the  general  offices,  which  will  be 
presented  in  the  following  chapter. 

Employment  or  Labor  Department.  The  employment 
department,  as  the  name  indicates,  has  charge  of  hiring 
and  transferring  employees.  Their  discharge  is  usually 
determined  by  office  managers  or  foremen  under  whom 
they  may  serve,  though  they  may  be  reinstated  in  other 
departments  by  the  employment  manager.  In  a  small 
factory  a  single  person,  with  clerical  help,  may  perform 
the  work  of  this  department,  but  in  many  establishments 
the  employment  department  has  become  a  highly  organ- 
ized and  distinct  division,  responsible  only  to  the  head 
of  the  company  or  to  the  general  superintendent.  In 
such  cases  it  is  conducted  apart  from  the  general  offices, 
has  separate  waiting  rooms  for  men  and  boys  and  for 
women  and  girls  who  apply  for  work,  and  a  full  office 
force.  Sometimes  the  foremen  of  the  various  rooms  hire 
their  own  help,  but  in  a  large  establishment  they  send 
requisitions  regularly  to  the  employment  office,  usually 
in  the  morning,  as  operators  may  be  needed. 


26  BUSINESS  EMPLOYMENTS 

Employment-Department  Methods.  Employees  are  se- 
cured by  advertising  in  daily  or  weekly  papers,  by  plac- 
ing "  help  wanted  "  signs  in  the  office  windows,  through 
persons  abeady  employed  in  the  factory,  and  less  fre- 
quently through  retail  dealers  who  may  sell  the  articles 
made  by  a  certain  factory.  Preference  is  generally  given 
those  who  have  had  factory  experience,  even  in  other 
lines  of  manufacture,  and  to  those  who  hve  near  enough 
to  a  factory  to  board  at  home  or  not  to  be  delayed  by 
street-car  service  in  the  morning. 

Application  Forms.  Applicants  are  interviewed  and 
usually  required  to  fill  blanks  giving  particulars  of 
home,  education,  and  former  employment.  The  follow- 
ing are  fair  examples  of  the  blank  form  used  in  many 
factories : 


SEC.  FILE  NO APPLICATION   FOR   POSITION  cARD  NO._ 

(Name  of  Company) 

NAME CITY 

STREET '. STATE 

NOW    EMPLOYED    AT  I        TRADE  I        TIME    AT    TRADE 

AGE  WHERE    EMPLOYED    LAST  I        WHY    RELEASED  I        HOW    LONG    THERE 

MARRIED  EDUCATION  WHERE  REFERENCES 

SINGLE I I 

RELATIVES    IN    FACTORIES 

NATIONALITY 


BUSINESS  ORGANIZATION  27 

Application  Blank 


Date  of  Employment Engaged  for  Dept. 


I  hereby  agree  that  should  I  he  employed  by my  engage- 
ment may  be  terminated  without  notice  at  any  time  during  my 
employment  at  the  option  of  either  the or  myself. 

I  also  agree  to  Join  the Mutual  Aid  Association,  after  the 

encpiration  of  three  months,  and  agree  to  abide  by  the  rules  and  regula- 
tions as  set  forth  in  its  articles  of  government,  and  hereby  authorize 
said  company  to  deduct  from  my  salary  any  assessments  which  may 
he  levied  by  said  Association, 


Name  in  full 

Address City  or  town  _ 

Give  name  and  grade,  also  address  of  last  school  attended 


Name  of  last  teacher 

When  did  you  leave  school  ? 

Have  you  ever  been  employed  ? 

Have  you  any  defects  in  sight,  hearing,  speech,  or  limb  ? 
Do  you  smoke  cigarettes  ? 


Age Date  of  birth Month Year 

Are  both  parents  living  ? If  not,  which  one  ? 

Do  you  live  with  parents  ? 

Do  you  live  with  relatives  ? 

Do  you  board  out  ? 


Is  anyone  dependent  on  you  for  support  ? 
If  so,  who  ? 


How  much  do  you  have  to  contribute  to  their  support  ? 
Are  you  in  good  health  ?  . 


What  is  your  father's  business  ? 
With  whom  is  he  employed  ? 


Were  you  ever  in  our  employ  ? When  ? Where 

What  salary  did  you  receive  in  your  last  position  ? 

Weight Height Complexion 


28 


BUSINESS  EMPLOYMENTS 


Give  the  name  and  address  of  every  employer  you  have  worked  for. 
Commence  with  the  last  and  give  all  back  in  rotation  to  the  first. 


Name^ 

Date  Employed 

Address, 

MONTH               YEAR 

WJiat  kind  of  business  ? 

Date  of  Leaving 

Reason  for  leaving, 

MONTH               YEAR 

Name, 

Date  Employed 

Address, 

MONTH               YEAR 

WJiat  kind  of  badness  ? 

Date  of  Leaving 

Reason  for  leaving. 

MONTH               YEAR 

Name, 

Date  Employed 

Address, 

MONTH               YEAR 

What  kind  of  business  ? 

Date  of  Leaving 

Reason  for  leaving, 

MONTH               YEAR 

Name,  ■ 

Date  Employed 

Address, 

MONTH               YEAR 

What  kind  of  business  1 

Date  of  Leaving 

Reason  for  leaving, 

Name, 

Date  Employed 

Address, 

MONTH               YEAR 

What  kind  of  business  1 

Date  of  Leaving 

Reason  for  leaving. 

Have  you  had  any  employers  other  than  those  given  above  ? 
If  so,  give  particulars. 


Below,  give  us  the  names  and  addresses  of  three  people  who  have 
known  you  more  than  one  year,  and  who  ARE  NOT  former  employ- 
ers, relatives,  or  persons  with  whom  you  have  boarded. 

Name, — 


Address, 
Name,  _ 
Address, 
Name,  _ 
Address, 


(Reverse) 


BUSINESS  ORGANIZATION 


29 


Employee's  Record  Cards.  By  the  use  of  some  filing 
system  this  department  keeps,  also,  a  record  of  the  en- 
gagement, kind  of  work  done,  efficiency,  and  discharge 
of  each  employee,  as  indicated  by  the  following  forms: 


DEPT... 

OARn    Nn 

EMPLOYEE'S  RECORD  CARD 

i\i/^ME                 Applicant's  No. 

Address                 

NATIONALITY U.    S.    CITIZEN AGE -l 

Trade Rate  Pfr 1 

1 

CHANGE 

OF 
WAGES 

DATE 

RATE 

DATE    QUIT                                                       CAUSE 

DATE    DISCHARGED                                       CAUSE 

TRNSF'D 
TO 

DEPT 

DATE 

Where  Last  Employed 

Address 

Name  of  Person  in  Charge 

Cause  of  Leaving 

Length  of  Time  Employed... 

D AT  E    LE  FT 


THE   ABOVE   SPACE  TO   BE  USED   BY   FOREMAN    IN   MAKING    RECORD   OF  EMPLOYEE'S   SERVICE   AT  TIME   OF   LEAVING 


(Eeverse) 


30  BUSINESS  EMPLOYMENTS 


TRANSFER  BLANK 


Old  check  No Date  transferred. 

Name 


Address, 


Old  rate  wages 

Transferred  from  Dept._ 
Kind  of  work 


Foreman  must  sign  here_ 


New  check  Xo._ 


Transferred  to  Dept. 
Kind  of  work 


New  rate  of  wages 

Foreman  must  sign  here. 
Approved  by 


TYPICAL  REGULATIONS  FOR  EMPLOYEES 

To  prevent,  so  far  as  possible,  the  happening  of  misunder- 
standings between  employer  and  employees  in  the  business  of 
the Company,  and  to  arrange  for  a  fair  settle- 
ment  of   questions   that   may  from   time   to   time   arise,  it  is 

mutually   agreed   between  the  Company  and 

each  of  its  employees  as  follows : 

1.  It  is  the  right  of  every  employee  to  bring  his  grievances  to 
his  employer  at  the  proper  time  and  in  a  proper  manner,  and  to 
fully  state  his  reasons  for  them.  The  fact  that  he  does  so  shall 
not  be  in  any  manner  prejudicial  to  him. 

2.  Any  grievance  affecting  three  or  more  employees  of  the 
Company,  doing  the  same  kind  of  work,  and 


BUSINESS  ORGANIZATION  31 

not  satisfactorily  adjusted  with  the  head  foreman  of  the  depart- 
ment in  which  they  work,  shall,  upon  request  of  any  three  of  the 
employees  affected,  be  brought  before  the  superintendent. 

3.  In  case  they  are  not  able  to  settle  the  matter  after  an 
honest  endeavor  to  do  so,  it  shall  be  referred  to  the  manager  or 
officer  of  the  Company. 

4.  In  case  the  Company  or  its  employees  are  unable  thus  to 
affect  an  amicable  settlement,  both  parties  to  the  difference  shall 
sign  an  application  to  the  State  Board  of  Arbitration  and  Con- 
ciliation to  make  a  decision,  and  this  decision  shall  be  accepted 
as  final  and  binding  on  both  parties  to  this  agreement. 

5.  When  an  agreement  is  about  to  be  presented  or  pending 
settlement  of  any  grievance,  we  and  each  of  us  agree  that  there 
will  be  no  strike  or  lockout,  and  the  employees  will  continue  to 
fill  their  positions  as  if  said  grievance  did  not  exist. 

6.  Should  three  or  more  employees  cease  work  with  the  evi- 
dent intention  of  enforcing  any  demand,  then  said  employees  shall 
not  be  considered  employees  of  the Company. 

7.  Subject  to  the  provisions  of  Section  5,  the  Company  re- 
serves the  right  to  hire  and  discharge  any  one  at  any  time. 

8.  Should  the  employer  fail  to  keep  his  part  of  the  agreement, 
then  the  employee  shall  be  entitled  to  and  shall  receive  payment 
of  double  the  amount  of  wages  due  him  at  the  time  the  agree- 
ment is  broken. 

9.  On  the  other  hand,  should  the  employee  fail  to  keep  his 
part  of  the  agreement,  then  the  employer  shall  have  the  right  to 
retain  the  full  amount  of  wages  due  the  employee  at  the  time 
the  agreement  is  broken. 

COMPANY 

,  President 

Signed 

Date 


32  BUSINESS  EMPLOYMENTS 

RULES  FOR  BOYS 
Superintendents  will  mark  in  ink  opposite  the  rule  violated 

1.  Keep  your  Record  Card  clean  and  whole,  and 
where  you  can  produce  it  whenever  called  for.  Bring  it 
with  you  to  inspection.   Commit  these  Rules  to  memory. 

2.  Stick  to  your  post.  Do  not  leave  unless  sent  on 
business  or  with  permission  of  your  Supt.  

3.  Be  watchful  and  quick  to  answer  calls.    Don't 

let  people  call  twice.  

4.  Walk  briskly,  but  do  not  run.    Never  slide  on 

the  stair  railings  or  floor.  

5.  In  going  from  your  post  go  promptly  and  come 
back  promptly.  

6.  Be  honest  and  truthful.  Take  nothing,  large  or 
small,  which  is  not  strictly  your  own.  Don't  lie,  what- 
ever happens.  

7.  Be  quiet.  Don't  call  loudly  for  people  unless  really 
necessary.    Never  shout  or  whistle  about  the  offices 

8.  Be  businesslike.  Leave  all  play  outdoors.  Don't 
slouch  down  or  lounge  about  in  lazy  fashion.  Read- 
ing and  eating  in  the  business  parts  of  the  building 

are  forbidden.  

9.  Be  polite.  Say  "  Excuse  me,"  if  you  accidentally 
brush  against  anyone  or  have  to  disturb  anyone  in 
passing.  

10.  Never  use  profane  or  foul  language.  

11.  Be  clean  and  neat.  A  patch  won't  hurt  you,  but 
rags  or  dirt  will.    Come  with  shoes  blacked.  

12.  Do  not  handle  the  stock  except  as  you  must  in 
your  work.  

13.  Do  not  mark  or  deface  in  any  way  the  counters, 
walls,  or  any  part  of  the  store  or  fixtures.  

14.  Irregular  attendance  will  greatly  decrease  the 
value  of  your  services.  Always  come  to  work,  and  come 
promptly,  unless  you  have  permission  to  be  absent,  or 
are  kept  by  a  really  serious  cause ;  then  send  word  by 
messenger  or  mail  to  Mr. 


BUSINESS  ORGANIZATIOK 


38 


DISCHARGED  OR  LEFT  EMPLOY  BLANK 

Check  No Locker  No. Amt.  Due 

Name Date 19 

Address 

Trade Dept 

Age Married Children 

Rate  Wages Nationality 

Date  employed Left  employ 


QUALITY         ATTENDANCE       CLEANLINESS   AND 

Record  deportment 


Cause . 


Monday,    Tuesday,    Wednesday,    Thursday,    Friday,    Saturday 


Approved  by 
Foreman 


Training  of  Employees.  In  the  more  progressive  firms, 
employees  are  trained  in  their  duties  by  managers  and 
others  in  office  departments,  by  foremen  in  the  factory, 
and  by  instructors  in  the  industrial  service  of  the  com- 
pany, all  of  which  will  be  described  under  these  several 
divisions  later  in  the  book. 

A  Division  of  the  Department.  In  a  large,  highly  or- 
ganized firm  there  are  sometimes  two  employment  de- 
partments, one  dealing  with  the  securing  and  transfer  of 
office  employees  and  the  other  with  factory  employees. 
As  the  requirements  and  conditions  on  the  business  side 
and  on  the  manufacturing  side  are  so  different,  and  the 


34  BUSINESS  EMPLOYMENTS 

numbers  of  persons  employed  so  great,  with  the  changes 
in  personnel  constantly  going  on,  this  division  is  found 
to  be  an  advantage  and  is  likely  to  become  more  com- 
mon in  the  future. 

A  Central  Employment  Office.  There  may  be  a  central 
employment  or  labor  office  serving  several  factories.  In 
such  a  case  applicants  are  selected  and  sent,  upon 
requisition,  to  the  various  plants  for  the  approval  of 
superintendents  and  foremen  in  each. 

On  the  other  hand,  plants  under  a  single  ownership 
but  situated  in  widely  separated  communities  usually 
have  separate  labor  departments,  each  drawing  employees 
mainly  from  its  immediate  neighborhood.  The  smaller 
the  community  the  greater  is  found  to  be  the  solidarity 
of  its  workers  in  most  lines  of  industry.  Great  manu- 
facturing corporations,  therefore,  are  constantly  opening 
factories  in  small  towns  where  comparatively  permanent 
bodies  of  employees  may  be  obtained,  even  with  the 
attendant  dangers  of  decentralization  and  the  added 
costs  of  management  and  freight  on  raw  materials. 

Positions  in  Employment  Department.  The  positions 
in  a  well-organized  employment  department  in  a  modern 
factory  are  the  employment  manager,  assistant  employ- 
ment manager,  employment  agent  for  men,  employment 
agent  for  women,  secretary,  stenographer,  the  recording 
or  filing  clerks  for  employees  and  for  applicants  kept  on 
a  waiting  list,  office  assistant,  and  messenger  boys. 

Employment  Manager.  The  position  of  employment 
manager  has  a  peculiar  and  growing  importance  in 
modern  industry.  It  is  no  longer  practicable  in  indus- 
tries of  considerable  magnitude  to  allow  foremen  and 


BUSINESS  OEGANIZATION  35 

heads  of  departments  to  hire  help  for  their  rooms  or 
departments,  as  was  formerly  the  prevailing  custom, 
though  they  must  still  have  large  or  decisive  influence 
in  the  matter  of  dismissal.  The  increasing  numbers  of 
persons  to  be  employed  ;  the  fact  that  practically  nearly 
all  training  must  be  secured  in  the  office,  shop,  or  fac- 
tory itself;  the  nature  of  many  kinds  of  manufacture 
that  demand  employees  having  some  adaptability  to 
their  processes ;  the  restlessness  of  labor  and  the  float- 
ing element  that  seeks  immediate  employment ;  and  the 
more  and  more  exacting  demands  for  production  at  least 
cost,  and  for  efficiency  all  along  the  line,  —  these  and 
social  causes  make  it  imperative  that  the  large  establish- 
ment should  have  a  man  of  the  best  ability  and  knowl- 
edge of  human  nature  to  supervise  the  selection,  transfer, 
promotion,  and  discharge  of  employees.  He  may  be 
called  employment  manager,  supervisor  of  employment, 
or  supervisor  or  director  of  personnel.  He  may  hold 
some  other  high  official  position  in  a  company,  but  he 
must  give  close  attention  to  the  problem  of  employment 
and  have  assistants  of  experience  and  ability  in  his 
department. 

The  Supply  of  Labor.  The  manufacturer  generally 
has  a  labor  problem  that  needs  much  of  his  best  care 
and  thought.  When  a  simple  little  factory,  however, 
is  started  in  a  rural  neighborhood  there  is  no  especial 
trouble  about  getting  employees.  Sons  and  daughters 
of  farmers  are  glad  enough,  for  the  sake  of  a  regular 
wage,  to  take  whatever  positions  the  new  mill  owner 
has  to  offer.  Those  who  incline  naturally  to  mechanical 
work  are  hired  to  manipulate  the  machines.    Others  who 


36  BUSINESS  EMPLOYMENTS 

have  clerical  ability  may  be  taken  in  the  offices  of  the 
company.  While  the  enterprise  is  small,  and  the  sur- 
rounding country  is  still  filled  with  young  people  anx- 
ious for  chances  to  earn  a  little  money,  the  securing 
of  workers  is  not  a  matter  of  great  difficulty  for  the 
manufacturer. 

But  presently  we  find  a  thriving  manufacturing  city 
where  a  short  time  before  a  single  busy  little  factory 
was  seen.  Various  shops  are  now  competing  for  the  serv- 
ices of  such  young  men  and  women  as  will  leave  the 
farms  of  the  surrounding  country.  Immigrants  of  many 
nationalities,  speaking  different  languages,  have  come  to 
the  expanding  city  in  search  of  work.  Competition  by 
workers  for  employment  and  by  employers  for  the  most 
efficient  service  is  very  keen.  We  see  great  numbers  of 
persons  constantly  passing  in  and  out  of  employment, 
especially  in  the  large  communities. 

The  Turn-Over  of  Labor.  The  turn-over  of  labor  — 
that  is,  the  percentage  of  employees  changing  in  an 
establishment  each  year  —  varies  greatly  in  different  in- 
dustries and  localities,  according  to  the  magnitude  and 
nature  of  manufacture  and  to  factory  and  labor  condi- 
tions. The  change  is  greater  on  the  factory  side  than  on 
the  business  side.  In  a  small,  well-conducted  factory,  or 
in  a  manufacture  whose  processes  require  considerable 
skill  and  training,  such  as  musical-instrument  manufac- 
ture or  bookbinding,  the  turn-over  may  be  as  low  as 
twenty  per  cent.  From  this  it  runs  up  to  one  hundred 
per  cent  and  sometimes  even  higher,  in  the  indus- 
tries whose  work  may  be  unpleasant  and  require  little 
or  no  skill  or  be  done  largely  by  juvenile  labor.   As  a 


BUSINESS  OKGANIZATION  37 

conservative  estimate,  the  average  change  of  labor  annu- 
ally in  the  manufacturing  industries  is  probably  about  one 
fourth  to  one  haK  the  total  number  employed.  In  other 
words,  to  keep  one  hundred  employees  at  work  in  many 
a  factory  two  hundred  must  be  hired  each  year.  While 
the  change  is  greatest  in  the  least  skilled  work,  in  "  floor 
people,"  and  in  the  messenger  service,  this  condition  as 
a  whole  imposes  upon  manufacture  its  most  difficult 
problem  at  the  present  time. 

The  Employment  Problem.  Wise  management,  then, 
calls  for  the  most  skillful  treatment  of  the  employment 
problem.  The  cost  of  manufacture,  the  quality  of  the 
finished  product,  and  its  sale  are  all  dependent  upon  the 
quality  and  permanence  of  the  labor  secured.  The  em- 
ployment manager  should  know  clearly  the  main  fea- 
tures and  processes  of  the  industry  for  which  he  must 
select  workers.  He  should  be  familiar  with  the  labor 
market,  locally  and  in  places  at  a  distance  from  which 
he  may  have  to  obtain  help.  He  should  have  an  intelli- 
gent sympathy  with  workers,  and  should  maintain,  as 
far  as  possible,  a  helpful  interest  in  individual  cases. 
Above  all  he  should  see  to  it  that  justice  is  done  to  all 
employees.  He  should  have  such  judgment  of  person!?"^ 
and  abilities  as  to  place  the  largest  number  possible,  at 
the  beginning  or  by  transfer,  where  their  work  will  re- 
sult in  the  highest  efficiency,  vocational  advancement, 
and  personal  growth  and  contentment. 

The  employment  manager  must  maintain  the  closest 
cooperation  with  the  various  offices  and  departments  of 
a  concern,  and  his  work  includes  industrial  service  when 
that  has  no  separate  organization. 


38  BUSINESS  EMPLOYMENTS 

The  Industrial  Counselor.  Industrial  counseling  is  a 
new  function  in  the  business  world,  and  rises  clearly 
into  the  professions.  The  industrial  counselor  is  one 
who  advises  a  concern  in  regard  to  its  labor  problems. 
He  deals  with  questions  of  organization ;  of  the  per- 
sonnel of  employees,  their  selection,  training,  and  dis- 
cipline ;  of  rates  and  methods  of  pay ;  of  labor  unions 
and  labor  laws ;  of  public  standards  and  the  relation  of 
a  concern  to  the  public,  especially  in  matters  of  safety, 
sanitation,  health,  and  regularity  of  employment.  He 
studies  and  makes  an  audit  upon  the  human  relations 
in  industry. 

The  industrial  counselor  works  in  close  cooperation 
with  the  employment  manager,  and  he  must  be  in  active 
touch  with  the  economic,  industrial,  social,  and  political 
forces  of  the  day.  His  work  marks  an  important  step 
in  the  increasing  demand  on  the  part  of  the  public  and 
of  the  business  man  to  know  the  industrial  status  of  a 
business  or  manufacturing  concern.  He  should  serve 
equally  the  employer,  the  employee,  and  the  public. 

The  Industrial  Development  Exjlftrt.  The  industrial 
development  expert  is  one  who  makes  a  study  of  trade 
and  manufacturing  opportunities,  both  domestic  and 
foreign,  and  advises  capitalists,  business  men,  or  com- 
missions upon  expansion  into  new  fields.  He  must  learn 
local  conditions  and  be  able  to  estimate  probable 
business  and  industrial  changes  along  particular  lines. 


CHAPTER  II 
THE  GENERAL  OFFICES 

The  General  Offices.  Office  divisions,  executive,  gen- 
eral, and  factory,  have  already  been  indicated.  The 
general  offices  are  those  in  which  are  conducted  the 
purely  business  features  connected  with  manufacture. 
They  comprise  the  following  departments:  Order,  cor- 
respondence, bookkeeping,  credit  and  collection,  purchas- 
ing, receiving,  advertising,  mailing,  and  sales  departments. 
They  are  here  treated  in  the  sequence  in  which  business 
usually  passes  through  them  when  an  order  is  received 
for  an  article  to  be  manufactured. 

The  offices  for  employment,  sales,  and  shipping  are 
usually  found  on  the  first  floor  of  a  factory ;  other  offices 
on  the  second  or  third  floor,  convenient  to  one  another 
and  to  factory  departments,  for  the  expediting  of  busi- 
ness and  of  manufacture.  Some  of  the  large  companies 
have  a  separate  administration  building  for  the  offices. 

The  Office  Manager.  In  factories  employing  several 
hundreds  or  thousands  of  people  there  are  so  many 
found  in  the  business  offices  that  supervision  of  these 
offices  becomes  necessary,  just  as  in  the  factory  itself. 
The  term  most  used  for  the  head  or  superintendent  of 
the  offices  is  office  manager.  This  person  must  know 
thoroughly  the  duties  of  each  office,  their  interrelations, 
and  the  special  systems  of  doing  business  that  are  used 

39 


THE  GENERAL  OFFICES  41 

in  each.  He  must  see  that  each  office  has  the  right  num- 
ber of  employees,  that  their  work  is  satisfactory,  that 
the  methods  of  the  office  are  efficient,  and  that  business 
goes  through  on  schedule  time.  He  must  make  office 
system  as  exact  and  efficient  as  factory  system.  The 
office  manager  has  usually  served  an  apprenticeship  in 
some  or  many  of  the  offices,  and  may  have  studied  in  a 
school  of  business  administration.  He  may  be  a  director 
of  the  company.  He  ranks  close  to  the  executive  officers, 
and  receives  a  salary  nearly  as  high  as  theirs.  Some  of 
the  most  progressive  shoe  companies  are  now  using  the 
term  "  efficiency  manager  "  for  the  person  in  charge  of 
the  business  offices. 

The  Order  Department.  The  order  department  takes 
charge  of  all  orders  for  articles  to  be  made  in  the  fac- 
tory. Orders  may  come  directly  tlirough  the  sales 
department,  or  indirectly  through  the  cost  department, 
which  estimates  all  points  of  expense  to  be  met  in  mak- 
mg  the  article  called  for  m  each  order.  The  credit  de- 
partment, also,  passes  on  credit  in  case  of  need,  before 
orders  can  be  acted  upon.  All  other  matters  connected 
with  the  written  order  are  handled  by  the  order  depart- 
ment, and  every  order  must  be  approved  by  the  manager 
of  the  department.  These  features  are  shown  on  the 
order  form  here  reproduced.  From  this  form  are  printed 
the  tags  by  which  articles  are  actually  made. 

The  Receipt  and  Handling  of  Orders.  Twice  a  year  in 
most  factories,  in  the  spring  and  fall  when  the  salesmen 
are  on  the  road,  orders  may  accumulate  far  beyond  fac- 
tory capacity.  For  instance,  in  a  factory  capable  of  turn- 
ing out  15,000  pairs  of  shoes  a  day,  the  excess  orders 


42 


BUSINESS  EMPLOYMENTS 


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THE  GENERAL  OFFICES  43 

may  reach  liaK  a  million  pairs.  There  follow,  accord- 
ingly, two  busy  seasons  of  manufacture,  in  general  from 
four  to  six  months  each.  The  more  highly  organized 
the  factory,  the  better  the  excess  orders  are  distributed 
and  the  more  continuous  is  the  employment. 

Exact  records  are  kept  of  the  receipt  of  orders,  of 
their  totals,  and  of  their  disbursements  or  sending  on 
to  the  factory  each  day,  ajid  an  order  report  is  issued 
every  week.  The  department  keeps,  also,  a  record  of 
shoes  cut,  so  that  it  may  know  the  exact  conditions  or 
progress  of  manufacture.  It  decides  when  orders  shall 
start  on  their  routine  course  through  the  factory  and 
sends  them  on  their  way. 

Special  Schedule  and  the  Day  Sheet.  All  orders  are 
transferred  carefully  to  cards  which  are  filed  in  geo- 
graphic divisions,  usually  in  two  sections,  as  rush  orders 
and  regular  orders.  The  rush  orders  are  placed  on  a 
special  time  schedule,  allowing  to  each  department  of 
the  factory  a  given  length  of  time  for  the  work  to  be 
done  there.  Regular  orders  are  put  on  the  day  sheet 
and  take  a  general  course  through  the  factory.  The 
day  sheet  is  a  very  important  feature  m  shoemaking 
and  is  used  in  nearly  all  factories.  It  includes  all 
particulars  to  be  followed  by  factory  departments  in 
making  each  lot  of  shoes. 

A  Typical  Day  Sheet.  The  cutting-room  portion  of 
a  typical  day  sheet  is  printed  on  page  44.  You  can 
readily  see  that  the  preparation  of  it  involves  much 
time  and  care  and  an  accurate  knowledge  of  the 
meaning  of  the  terms  and  numbers  appearing  in  its 
columns. 


44 


BUSINESS  EMPLOYMEKTS 


REGULAR  CUTTING  SHEET,  APRIL  3,  1913 


4/3/13 

Office 

10.30  4/3 

Lin.  Mak. 

12.00  4/12           B't'nholes 

3.00  4/16 

St'k  Sort 

5.30  4/4 

Fox  St'ch 

3.00  4/ 13           Pumps  ^  D.  Later 

9.30  4/17 

Cutting 

11.00  4/r 

Box  Toes 

3.(J0  4/11           Tags  off  at  V'ping 

9.30  4/17 

Skiving 

8.00  4/9 

Tip  St'ch 

5.30  4/ 

'14           Pumps  2D.  Earlier 

9.30  4/15 

To  St'ch  R'm 

9.30  4/9 

Top  St'ch  l8t  R'm  3.00  4/ 

15           St'ch  2d  R'm 

5.30  4/17 

Closing 

9.30  4/11 

Pumps  ID. 

Later    3.00  4  /15           Dispatch  Dept. 

4/23       , 

Dispatch  Dept.  Hustles    4/21 

3920436  6    3927436  BN 

39329  36  B 

39384  36  B  39437  36  B 

39497  36  BN 

39471 36  SPN 

207  36B 

27536BN 

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438  36  B 

49836BN 

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3863GB 

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473  36  SPN 

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440  3GN 

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402 .36  B 

4,5536  6 

515 18  B 

23836 

29331 

348  36  B 

4033GB 

456 36 B 

516 18  B 

23936 

296  SOB 

3493GB 

4043GB 

457  36  B 

5173GB 

24012 

29736CTN 

a!iO.SGB 

405  3GB 

458  36  B 

5183GB 

24124 

29824BN 

353  36B 

4063GB 

459  36  B 

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242  36  B 

29936BN 

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4073GB 

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355  36  B 

408  36  B 

461 36  B 

521 36  B 

244  36  B 

30136BN 

35636  B 

4093GB 

4623GCTN  522  36  B 

A  TYPICAL  DAY  SHEET 


Positions  in  the  Order  Department.  The  usual  positions 
in  the  order  department  are  the  oifice  manager  or  head, 
the  assistant  office  head,  the  clerks  for  figuring,  copying, 
reviewing,  and  tabulating,  the  stenographers,  and  the 
messengers. 

The  Correspondence  Department.  In  a  very  small 
factory  each  office  division  may  take  charge  of  its  own 
incoming  and  outgoing  mail;  but  in  most  factories  a 
separate  correspondence  department  is  necessary. 

Such  a  department  handles  all  the  business  corre- 
spondence  of  the  firm.     It  receives,  opens,  sorts,  and 


THE  GENERAL  OFFICES  45 

answers  the  mail,  or  distributes  to  the  different  offices 
letters  which  need  the  special  attention  of  a  department. 
It  answers  letters  of  a  general  nature,  such  as  deal  with 
orders,  complaints,  deliveries,  or  transportation  claims. 
It  sends  stenographers  to  the  various  offices  upon  call 
to  take  dictation.  Then  the  letters  are  typewritten  in 
the  correspondence  department,  submitted  to  their 
authors  for  approval  or  signing,  and  mailed  from  the 
correspondence  department,  or  turned  over  to  the 
mailing  department.  Some  firms  allow  the  firm  name 
only  to  be  signed  to  letters. 

All  letters  and  replies  are  kept  on  file,  ready  for 
department  call  at  any  time. 

Positions  in  the  Correspondence  Department.  The  posi- 
tions in  the  correspondence  department  are  the  head 
of  the  department,  the  assistant  head,  the  clerks  for 
opening,  distributing,  and  filing  letters,  the  stenog- 
raphers, the  operators  of  typewriters,  and  the  transla- 
tors of  foreign  languages,  such  as  Italian,  German, 
French,  and  Spanish.  A  large  manufacturing  concern 
may  be  in  touch  with  all  parts  of  the  world. 

The  Stenographic  Department.  In  some  cases  there 
is  a  separate  stenographic  department,  from  which  sten- 
ographers go  out  to  the  various  offices  for  dictation. 
In  large  establishments,  however,  the  introduction  of  the 
dictograph  is  likely  to  decrease  the  demand  for  stenog- 
raphers but  not  that  for  operators  of  the  typewriter. 

The  Bookkeeping  Department.  The  bookkeeping  depart- 
ment has  charge  of  the  records  of  the  business  operations 
of  the  entire  industry.  It  sends  bills*  for  all  shipments 
to  customers,  and  places  these  invoices  in  their  ledger 


46  BUSINESS  EMPLOYMENTS 

accounts.  It  sees  that  payments  are  made  for  all  pur- 
chases and  correctly  charged  to  department  accounts.  The 
bookkeeping  department  sees  that  all  accounts  are  cor- 
rectly kept,  draws  up  a  balance  sheet  and  a  profit  and 
loss  statement  every  month  or  oftener,  and  shows  labor 
costs  and  department  expenses  at  regular  periods. 

Positions  in  the  Bookkeeping  Department.  The  posi- 
tions in  this  department  are  the  auditor,  the  cashier,  the 
head  bookkeeper,  the  bookkeepers,  the  invoice  or  billing 
clerks,  the  checking  clerks,  the  general  clerks,  the 
stenographer,    and    the    messenger. 

A  Typical  Balance  Sheet.  On  pages  48  and  49  is 
given  a  balance  sheet  showing  the  great  variety  of 
transactions  entering  into  modern  manufacture. 

The  Credit  and  Collection  Department.  This  department 
makes  a  study  of  the  financial  standing  of  customers,  de- 
cides what  business  shall  be  accepted  by  the  factory,  and 
has  charge  of  collecting  all  accounts.  It  keeps  a  careful 
record  of  all  orders  received  for  goods  to  be  made  by  the 
factory,  whether  these  orders  are  accepted  or  rejected. 

While  this  department  is  the  farthest  removed  of  all 
the  business  departments  from  actual  factory  operations, 
yet  it  determines  in  a  very  large  measure  the  prosperity 
of  the  industry.  It  must  study  the  reports  of  financial 
agencies  and  the  general  condition  of  the  business  world. 
Action  by  this  department  precedes  the  filling  of  orders 
by  the  factory  and  follows  the  delivery  of  goods  to  insure 
pa3rment  for  them. 

Positions  in  the  Credit  and  Collection  Department.  The 
positions  in  this  d*epartment  are  the  manager  of  credit 
and  collection,  usually  called  simply  the  credit  manager. 


THE  GENERAL  OFFICES  47 

the  assistant  credit  manager,  the  general  clerks,  the  credit 
filing  clerks,  the  stenographers,  and  the  messengers. 
•  The  Credit  Manager.  The  credit  manager  holds  a  posi- 
tion of  very  great  and  peculiar  responsibility.  He  is  re- 
sponsible for  enforcing  the  policies  of  the  company  in 
accepting  business  and  in  collecting  accounts.  Often  he 
must  himself  determine  these  policies.  He  is  responsible 
for  the  accuracy  and  right  interpretation  of  all  informa- 
tion about  customers,  both  those  already  on  the  lists  and 
those  seeking  to  buy  goods  for  the  first  time. 

He  should  know  all  customers,  personally  if  possible. 
He  must  possess  the  rarest  tact,  in  order  to  hold  cus- 
tomers as  friends  of  the  firm,  not  allowing  them  to  turn 
to  competing  firms  or,  in  case  of  being  denied  credit,  to 
do  anything  to  the  injury  of  the  company  with  other 
customers  or  with  the  general  public. 

The  importance  of  the  credit  manager's  work  ranks 
with  that  of  the  head  sales  manager.  The  latter  deter- 
mines what  business  shall  be  sought;  the  former,  what 
business  shall  be  accepted  and  how  payment  shall  be 
handled.  Each  is  responsible  for  the  right  standing  of 
the  company  with  the  distributing  retail  agent  or  dealer, 
and  upon  a  right  relation  between  the  manufacturer  and 
the  dealer  depend  both  the  volume  of  business  and  the 
success  of  manufacture. 

The  credit  manager,  or  "  credit  man,"  as  he  is  often 
called,  may  be  a  member  of  the  corporation.  He  must 
be  a  person  of  good  judgment  and  thorough  knowledge 
of  financial  conditions  in  the  world  of  trade,  and  of  keen 
business  insight.  His  services  are  indispensable  and  com- 
mand a  salary  among  the  highest  paid  by  a  company. 


48 


BUSINESS  EMPLOYMENTS 


BALANCE  SHEET 


ASSETS 

Increase 

Decrease 

FIXED  ASSETS 

1  Real  estate  and  fixed  plant 

2  Machinery,  tools,  horses,  and  wagons 

3  Patents  and  trade  marks 
4 

INVENTORY  ASSETS 

5  Bottom  stock 

6  Heel  stock 

7  Supplies  and  findings  stock 

8  Trimmings  stock 

9  Upper  stock 

10  Stock  in  process 

11  Distributing-dept.  stock 

12  Shipping-room  stock  (goods  sold) 

13  Chicago  stock 

14  St.  Louis  stock 

15  Samples  and  sample  trunks 

16  Job-dept.  stock 

17  Retail-depart,  stock 

18  Advertising  stock 

19  Dies,  lasts,  and  patterns 

20  Hollow  fillers 
21 

CURRENT  ASSETS 

22  Cash 

23  Accounts  receivable 

24  Notes  receivable 

25  Personal  balances 
26 

INVESTMENTS 

27  Shoe  Co. 

28  Retail  stores 
29 

SUNDRY  ASSETS 
30  Insurance  paid  in  advance 

31  Interest  paid  in  advance 

32  Sundry  assets 

Total  assets 
LIABILITIES 

34  Accounts  payable 

35  Notes  payable 

36  Personal  balances 

37  Relief  fund 

38  Wages  accrued 
89  Royalties  accrued 
40  Taxes  accrued 

Total  current  liabilities 
RESERVES 

42  For  discount  to  be  taken  by  customers 

43  For  bonuses  for  salesmen 

44  For  inventories 

45  For  bad  debts 

46  For  depreciation 

47  For  investments 

48  For  contingencies 
49 

50  Capital  stock 

51  Redemption  reserve 

52  Surplus 

53 

Remarks : 


THE  GENEEAL  OFFICES 


49 


GAINS  AND  LOSSES    For Months  ending . 


Total  since 
Stock  Taking 


Comparison  of  Extensks 


MANUFACTURING  EXPENSES 

Cutting  loBS 

Cripples,  labor,  and  material 

Depreciation  of  equipment 

Expense,  labor,  and  salaries 

Freixht  aud  express 

General  expenses 

Insurance 

Job-dept.  loss 

Light,  heat,  and  power 

Maintenance  and  repairs 

Office  supplies 

Recreation  dept.  and  restaurant 

Taxes 

Teaming 

Telegraph  and  telephone 

Trial  shoes 


DEDUCTIONS  FROM  EXPENSE 


Cutting  gain 

Sorting  gain 

Factory  retail-store  gain 

Sales  of  scrap  needles,  etc. 

NET  MFG.  EXPENSE 
Allowance  on  output  for  expense 

Excess  mfg.  expense 
SELLING  EXPENSES 


26  Advertising 

27  Sales  dept. 

28  Distrib.-dept.  cleanups  loss 

29  Distrib.-dept.  expenses,  over    %  of  sales 

30  Chicago  expense  "         "    "     " 

31  St.  Louis  expense  "         "    "     " 

32  Retail-store  operations 
33 

34  Net  selling  expenses 

35  Allowance  on  output  for  selling 

36  Excess  selling  expenses 
MISCELLANEOUS  EXPENSES 


37  Allowances  to  customers 

38  "  for  bad  debts 

39  Cost  of  collections 

40  Interest 

41  Legal  expenses 
42 

43 

44  Discount  received 

45 

46 


Total  excess  expense 
PROFIT  AND  LOSS 


Percentage  on  factory  output  or  shipments 
Less  expense  in  excess  of  allowance 


47 

48 

49 

50  Discounts  not  taken  by  customers 

51 

52 

53 

54 

55 


Previous  surplus 
Less  dividends  paid 


Gain 


Balance  surplus 


SHIPMENTS 

57  Net  total  for  month 

58  Net  total  since  stock  taking 

59  Net  total  for  same  period  last  year 


60  Mfg.  and  misc.  expenses  are...  %  on  output  since  stock  taking %  for  current  month  alone 

61  Selling  and  adv.  expenses  are...  %  on  output  since  stock  taking. ...%  for  current  month  alone 


50  BUSINESS  EMPLOYMENTS 

A  STATEMENT  FROM  AN  EMPLOYER 

The  credit  manager  has  one  of  the  most  delicate  positions  in 
industry,  for,  on  the  one  hand,  he  may,  by  too  drastic  exclusion  of 
risks,  eliminate  so  great  a  proportion  of  the  company's  business, 
and  alienate  so  many  customers,  as  to  seriously  cripple  the  work 
of  the  sales  department;  while,  on  the  other  hand,  he  may,  by 
too  great  tolerance,  assume  risks  that  result  in  losses  so  great  as 
to  wipe  out  profits  and  impair  capital. 

I  have  become  more  and  more  impressed  with  the  necessity  of 
picking  credit  men  possessed  of  unusual  tact  and  good  personali- 
ties. I  have  seen  in  active  operation  the  result  of  a  credit  man 
who  was  able  to  hold  the  confidence  of  his  salesmen,  and  even  to 
persuade  customers  that  the  company  was  reasonable  in  asking 
cash  rather  than  extending  credit.  A  firm  can  afford  to  pay  such 
a  man  almost  any  salary  within  reason.  On  the  other  hand,  a 
man,  no  matter  how  brilliant  his  intellect,  who  handles  the  mat- 
ter merely  mechanically  is  worth  less  in  credit  work  than  in 
almost  any  other  position  in  the  manufacturing  industry. 

The  Purchasing  Department.    The  purchasing  departA 
ment  has  charge  of  buying  the  various  materials  and 
supplies   used   in    the    conduct    of    an    industry,    both 
on  the  factory  side  and  the  business  side. 

Such  purchases  are  made  upon  requisition  from  the 
supply  rooms  or  from  the  departments  of  the  factory. 
Buying  is  sometimes  divided  among  several  offices  or 
factory  departments,  but  in  the  well-organized,  centrally 
controlled  factory  the  purchase  of  materials  is  carried  on 
as  a  single  large  function,  and  is  highly  specialized. 

In  shoe  factories,  the  goods  to  be  bought  fall  into  six 
divisions : 

1.  Upper  leather,  the  many  kinds  of  thin  and  medium  weight 
leather  that  are  used  in  making  the  upper  parts  of  shoes. 

2.  Sole  leather  and  counters,  the  heavy  leather  used  in  mak- 
ing the  bottoms  of  shoes,  aside  from  the  heel. 


THE  GENERAL  OFFICES  51 

3.  Shoe  findings,  —  the  buttons,  strings,  buckles,  and  other 
parts  that  are  usually  manufactured  in  special  factories,  bought 
by  the  shoe  factory,  and  added  to  the  shoe  in  its  last  stages  of 
making. 

4.  Heels,  welting,  and  miscellaneous  supplies.  Heels  and  welt- 
ing are  generally  made  in  special  factories,  being  of  such  impor- 
tance as  to  call  for  separate  manufacture  and  purchase.  Heels 
come  in  block  form  ready  to  nail  to  the  sole.  They  are  made 
from  remnants  of  sole  leather  or  from  substitutes  for  leather. 
The  miscellaneous  supplies  are  those  used  in  factory  maintenance 
and  repairs. 

5.  Machine  parts,  for  the  renewal  of  the  various  machines  used 
in  the  modern  shoe  factory. 

6.  Restaurant  supplies,  or  the  equipment  and  foodstuffs  used  in 
the  lunch  rooms  maintained  by  most  factories  for  their  employees. 

The  purchasing  department  keeps  a  set  of  stock  books 
and  compares  the  orders  given  with  receiving-room 
statements  of  the  goods  received.  It  turns  the  bills 
over  to  the  bookkeeping'  department  when  they  have 
been  approved  for  payment. 

Positions  in  the  Purchasing  Department.  The  positions 
in  this  department  are  the  purchasing  agent ;  the  assist- 
ant purchasing  agents,  usually  one  for  each  of  the  six 
divisions  just  enumerated ;  clerks  for  each  of  these  divi- 
sions ;  the  bill  clerks,  to  examine  and  check  all  bills ;  the 
receiving  clerks  ;  and  the  stenographers. 

The  Purchasing  Agent.  The  purchasing  agent  in  a 
modern  industry  has  a  very  large  responsibility.  Saving 
money  in  buying  raw  materials  for  manufacture  is  as 
important  as  selling  manufactured  goods  at  a  reasonable 
profit.  If  the  purchasing  agent  effects  a  saving  of  one 
half  cent  in  the  cost  of  material  for  each  article  made  in 
a  factory  and  20,000  of  the  finished  product  are  put  out 


52  BUSINESS  EMPLOYMENTS 

each  day,  as  happens  in  many  cases,  the  total  saving  each 
day  is  |100,  and  for  a  year  of  three  hundred  working 
days  it  is  |30,000. 

The  purchasing  agent,  tfaerefore,  must  be  one  of  the 
ablest  men  connected  with  a  concern.  He  must  have 
extensive  knowledge  of  business  conditions  and  of  prob- 
able changes  in  supply  and  demand,  and  of  consequent 
changes  in  the  price  of  the  materials  necessary  to  the 
industry  he  serves. 

He  must  know  fully  the  sources  of  supply.  Some- 
times he  must  even  create  a  supply,  if  necessary,  by 
causing  his  company  to  establish  a  subsidiary  factory 
for  its  production.  He  must  understand  the  nature  of 
the  materials  to  be  purchased,  the  current  market  prices, 
and  the  prevailing  rates  of  discount.  He  must  often  give 
contracts  for  materials  months  in  advance  of  their  pro- 
duction or  delivery  to  the  factory. 

The  purchasing  agent  must  see  that  his  department, 
on  the  business  side,  maintains  constantly  an  adequate 
supply  of  all  materials  entering  into  manufacture,  in  ac- 
cordance with  the  requirements  of  factory  departments. 

The  Receiving  Department.  To  the  receiving  depart- 
ment come  the  supplies  and  materials  to  be  used  in  the 
factory  business  offices.  The  department  is  usually  noti- 
fied by  the  purchasing  office  that  goods  have  been  ordered 
and  are  to  be  received.  All  goods  received  are  checked 
off  and  examined  for  number  and  quality.  The  depart- 
ment keeps  a  record  of  all  receipts,  sending  a  duplicate 
to  the  purchasing  office.  It  keeps,  also,  a  record  of  traffic 
costs,  making  charges  back  to  the  shippers  of  goods  when 
necessary. 


THE  GENERAL  OFFICES  53 

Supplies  and  materials  are  kept  in  supply  rooms,  or 
sometimes  in  a  separate  supply  department  until  needed 
in  the  factory.  Notice  is  sent  to  the  purchasing  office 
when  it  is  time  to  reorder.  Materials  taking  up  consider- 
able space,  such  as  upper  leather  and  sole  leather,  are 
usually  received,  recorded,  and  stored  in  their  appro- 
priate factory  departments. 

The  Job  Room.  The  receiving  department  also  takes 
charge  of  manufactured  goods  that  have  been  returned 
by  customers.  If  they  are  stock  goods  and  not  returned 
because  of  damage,  they  go  back  to  the  stock  of  the  fac- 
tory. If,  however,  such  goods  are  odd  lots  or  are  returned 
through  some  fault  in  their  manufacture,  they  are  fre- 
quently disposed  of  in  the  job  room,  which  is  maintained 
in  connection  with  the  receiving  department.  Such  a 
room  sometimes  constitutes  a  retail  store.  Besides  selling 
job  lots  to  small  dealers,  it  may  sell  regular  stock  goods 
as  well  as  returned  goods  to  the  employees  of  the  factory, 
or  even  to  the  general  public. 

Positions  in  the  Receiving  Department.  The  positions 
in  the  receiving  department  are  the  superintendent,  who 
may  be  supplied  by  the  purchasing  department  to  in- 
sure a  close  connection  between  the  two  departments; 
the  receiver,  or  foreman,  for  goods  received  directly  in 
factory  departments ;  the  quality  man,  who  examines 
goods  received  as  to  their  genuine  value ;  the  assistant 
receiver ;  the  clerks  for  checking  and  recording ;  the  ste- 
nographer; the  freight  handlers;  the  head  of  the  job 
room ;  and  the  job  room  clerks. 

The  Publicity  Department.  The  growth  of  advertising 
has  been  the  most  conspicuous  development  of  recent 


54  BUSINESS  EMPLOYMENTS 

years  on  the  business  side  of  industry.  Formerly,  even 
in  the  case  of  large  factories,  one  or  two  persons,  who 
might  also  have  other  duties,  attended  to  the  work  of 
publicity.  Within  a  very  few  years,  however,  with  the 
increase  of  the  number  of  manufacturers  in  each  line 
and  the  constant  searching  for  wider  markets,  advertis- 
ing has  become  a  distinct  department  with  a  separate 
office  force.  In  some  cases  still,  as  in  earlier  times,  a 
manufacturer  may  depend  upon  the  wearing  qualities 
and  style  of  his  goods  to  insure  a  constant  or  an  in- 
creasing trade ;  but,  with  competition,  the  higher  cost 
of  materials  and  decreasing  margins  of  profits,  the  largest 
possible  trade  is  sought  by  most  manufacturers. 

The  advertising  department  has  charge  of  making  the 
product  of  a  factory  known  to  the  general  public.  It 
employs  experts  and  uses  the  latest  methods  of  pub- 
licity. Such  work  has  become  twofold:  general  adver- 
tising, which  is  an  enlargement  of  the  earlier  work ;  and 
local  advertising  for  retail  dealers,  a  form  resulting  from 
recent  expansion  in  trade  and  comparatively  unknown- 
to  the  earlier  manufacturer. 

General  Advertising.  The  first  division,  or  general  ad- 
vertising, places  advertisements  in  the  leading  publica- 
tions of  the  country,  or  the  daily  and  weekly  press,  the 
standard  magazines,  and  the  trade  papers.  It  issues 
richly  illustrated  catalogues  setting  forth  in  detail  the 
merits  of  particular  factory  products.  Some  large  firms 
print  as  many  as  a  million  or  a  million  and  a  half  copies 
of  a  single  catalogue.  The  department  usually  adopts  a 
motto  or  trade  mark  which  appears  in  all  its  advertis- 
ing, and  in  most  cases  is  stamped  or  embossed  upon  the 


THE  GENERAL  OFFICES  5b 

product  itself.  The  advertising  department  in  many  cases 
conducts  a  special  campaign  of  publicity  twice  annually, 
in  the  spring  and  fall  of  the  year. 

The  printing  department  now  found  in  many  large 
factories  is  a  result  of  the  demand  of  the  advertis- 
ing department  for  increased  printing,  and  is  a  means 
of  lowering  the  cost  to  .the  factory  of  the  extensive 
advertising   of   the   present   time. 

Local  Advertising.  The  second  and  distinctly  modern 
division  of  advertising  in  manufacturing  industry,  now 
followed  by  the  more  progressive  firms,  is  that  of  pro- 
viding plans  and  material  for  publicity  for  retail  stores, 
whether  conducted  by  the  firm  itself  or  by  other  persons. 
The  department  thus  acts  as  the  local  advertising  agent 
of  the  retail  dealer,  preparing  advertisements  to  be  in- 
serted in  local  papers,  supplying  printed  information  to 
be  given  the  customers  of  the  store,  and  originating 
designs  for  signs'  and  plans  for  the  display  of  goods. 
The  expense  of  such  advertising  is  borne  by  the  manu- 
facturing company. - 

The  Art  Department.  An  art  department  is  sometimes 
maintained  in  connection  with  advertising,  to  create  de- 
signs and  make  illustrations  for  catalogues  and  for 
placards  or  other  material  to  be  used  by  the  local 
dealer. 

Sometimes  firms  not  having  a  large  advertising  depart- 
ment submit  their  ideas  to  regular  advertising  agencies 
which  prepare  the  material  desired  for  the  retail  dealer. 
Some  firms  also  employ  extra  persons  in  the  art  depart- 
ment during  the  periods  of  the  two  annual  advertising 
campaigns  of  the  year. 


56  BUSINESS  EMPLOYMENTS 

The  advertising  department  of  a  manufacturing  com- 
pany must  study  general  trade  conditions,  the  prosperity 
of  the  country,  and  the  amount  of  business  likely  to  be 
done  each  season.  It  must  advise  the  executive  depart- 
ments of  the  amount  of  money  to  be  used  in  advertising, 
which  may  amount  to  as  much  as  two  per  cent  of  the 
estimated  trade.  Only  on  the.  basis  of  such  information 
can  the  detail  for  advertising  be  laid  out,  both  for 
the  general  and  local  fields.  All  plans  for  advertising 
are  usually  submitted  to  executive  approval  before 
going  into  effect,  as  they  control  in  large  measure  the 
trade  of  a  coming  season. 

The  Advertising  Manager,  The  advertising  manager 
must  be  an  authority  on  general  merchandising  con- 
ditions. He  must  be  able  to  present  merchandise 
effectively  to  that  part  of  the  public  likely  to  buy  a 
particular  factory  product.  He  must  understand  the 
problems  of  the  travelmg  salesmen  of  his  firm,  and 
something  of  the  more  important  details  of  manufac- 
ture. He  is  responsible  for  the  policies,  methods,  and 
success  of  the  advertising  of  the  company. 

The  assistant  advertising  manager  is  usually  respon- 
sible for  the  creation  of  special  ideas  and  plans,  and  for 
the  preparation  of  copy  or  other  publicity  matter. 

The  Display  Rooms.  In  connection  with  the  advertis- 
ing department  display  rooms  are  sometimes  maintained 
in  which  are  shown  the  latest  methods  of  general  and 
local  advertising. 

Positions  in  the  Advertising  Department.  The  posi- 
tions in  the  advertising  department  are  the  advertising 
manager,  one  or  more  assistant  advertising  managers,  the 


THE  GENEKAL  OFFICES         .  67 

general  clerks,  the  stenographers,  the  artist,  the  assistant 
artists,  the  foreman  of  the  mailing  division,  the  address- 
ing clerks,  the  foreman  of  the  advertising  stock  rooms, 
and  the  bundle  boys  or  shippers  of  advertising  material. 

In  the  busy  seasons  the  number  of  people  serving  in 
these  positions  may  be  doubled. 

The  Mailing  Department.  The  mailing  department 
has  charge  of  sending  out  all  mail  connected  with  the 
business  of  the  company,  except  the  bulk  mail  and 
pamphlets  that  may  be  sent  out  by  the  advertising 
department  or  other  offices. 

The  mail  of  a  manufacturing  concern  may  be  very 
large,  both  domestic  and  foreign.  The  addresses  of  local 
retail  dealers  or  agents  of  a  factory,  as  they  are  usually 
called,  may  number  thousands.  Addressing  letters  to 
them  all  by  hand  would  be  out  of  the  question,  so  the 
names  are  set  in  rubber  type  and  printed  on  the  enve- 
lopes by  an  addressing  machine  which  runs  at  about  the 
rate  of  an  ordinary  printing  press.  Many  large  factories 
send  out  from  one  to  two  thousand  letters  a  day,  besides 
a  great  mass  of  other  material. 

The  work  of  this  department  has  been  largely  in- 
creased by  the  introduction  of  the  parcel  post.  In  some 
cases  a  clerk  or  other  person  is  furnished  by  the  neigh- 
boring post  office  to  register  mail  and  stamp  parcel-post 
packages. 

Positions  in  the  Mailing  Department.  The  positions 
in  the  mailing  department  are  the  manager,  the  assist- 
ant manager,  the  addressing  clerks,  and  the  mailing 
clerks.  In  cases  of  need  extra  clerks  are  called  in 
temporarily  from    other   offices. 


58  BUSINESS  EMPLOYMENTS 

The  Sales  Department.  This  department  is  sometimes 
called  the  sales  and  agency  department.  With  the 
help  of  the  advertising  department  it  is  responsible  for 
the  sale  of  the  product  of  the  factory  to  the  retail 
trade.  It  works  mainly  through  travelmg  salesmen, 
and  increasingly,  in  the  case  of  large  factories,  through 
retail  stores  conducted  by  the  factory  itself.  In  some 
cases  a  factory  establishes  stores  in  the  large  retail 
centers  of  the  country,  thus  creating  a  chain  system,  or 
branches  for  the  distribution  of  a  single  product. 

By  individual  conferences  or  by  class-group  work  this 
department  instructs  its  salesmen  in  information  neces- 
sary to  their  duties  and  in  the  presentation  of  merchandise 
to  the  retail  dealers.  It  keeps  a  record  of  all  dealers  in 
a  single  line  in  the  United  States  and  in  the  foreign 
markets  which  open  more  largely  each  year,  and  of  local 
trade  conditions  in  all  towns  of  500  population  or  more. 
It  handles  correspondence  with  salesmen  on  the  road, 
giving  them  advance  information  and  keeping  a  record 
of  their  daily  movements  and  of  the  sales  of  individual 
men  and  of  the  total  sales  by  towns.  It  compares  sales 
by  seasons  in  total  and  for  each  salesman. 

From  information  gathered  by  salesmen  and  by  a 
study  of  the  general  field  of  manufacture,  the  sales 
department  determines  styles  to  be  used  or  in  demand 
each  season.  Frequently,  also,  the  department  has  a 
person  who  makes  a  special  study  of  styles  and 
patterns. 

Often  a  factory  deals  with  only  one  retailer  in  a 
town,  on  the  condition  that  this  retailer  shall  sell 
exclusively  the  product  of  the  factory. 


THE  GEI^EEAL  OFFICES  59 

Other  Methods  of  Securing  Business.  In  addition  to 
the  solicitation  of  business  by  the  traveling  salesmen, 
it  is  sought,  also,  through  correspondence,  advertising 
material,  and  samples  of  styles  and  lines.  This  last 
method  of  securing  business  is  being  used  increasingly, 
especially  in  the  case  of  small  towns  and  scattered  retail 
trade.  Use  is  made  of  statements  carefully  prepared 
by  the  advertising  department,  and  circulars  especially 
adapted  to  reach  the  kind  of  trade  desired.  A  late  and 
effective  method  used  by  the  sales  department  in  the 
shoe  industry  is  that  of  sending  out  trunks  containing 
samples  of  shoes  of  the  styles  and  lines  of  the  coming 
season.  Such  trunks,  sometimes  called  "  silent  sales- 
men," may  contain  samples  of  from  50  to  100  or  more 
styles,  and  usually  travel  from  one  dealer  to  another. 
The  retailer  receiving  these  samples  selects  and  orders 
from  them  the  particular  styles  he  desires  for  the  coming 
season.  This  method  saves  the  expense  of  a  traveling 
salesman,  and  brings  to  a  factory  trade  it  would  not  reach 
in  many  cases.  If  the  product  of  the  factory  is  main- 
tained at  the  standard  shown  by  the  traveling  samples, 
continued  trade  is  assured.  Some  factories  sell  in  this 
way  from  50,000  to  100,000  pairs  of  shoes  annually. 

Some  concerns,  through  their  sales  offices,  deal  mostly 
or  in  part  with  large  jobbing  houses,  which  in  turn 
supply  the  retail  dealer.  Such  factories  may  have  a 
fully  equipped  and  active  advertising  department,  but 
necessarily  a  small  sales  department  and  few  traveling 
salesmen.  Yet  the  individual  sales  of  each  man  are  large. 
Frequently,  also,  the  buyer  of  the  jobbing  house  comes 
to  the  sales  office  of  the  factory  to  make  his  purchases. 


60  BUSINESS  EMPLOYMENTS 

A  Statistical  Division.  Sometimes  the  sales  depart- 
ment conducts  a  statistical  subdivision  or  department 
which  gathers  and  supplies  to  the  retailer  information  as 
to  the  popularity  of  certain  styles  already  upon  the 
market  and  the  probable  demands  of  a  coming  season. 

The  Sample  Rooms  or  Sample  Department.  Elaborate 
sample  rooms  are  maintained  in  many  factories,  and  in 
some  cases  in  the  large  cities  also,  as  local  offices  or 
branches  of  the  sales  department.  Sometimes  these 
rooms  are  organized  as  a  regular  department.  They 
are  always  well  located  and  well  Hghted,  and  in  them 
is  kept  a  complete  line  of  samples  of  all  the  styles 
and  kinds  of  the  factory  product. 

These  samples  are  changed  twice  a  year,  in  the 
spring  and  fall,  showing  always  the  latest  styles,  or 
those  of  the  coming  season.  Customers  in  the  trade 
coming  from  all  over  the  world  here  inspect  the  prod- 
ucts of  the  factory  and  give  their  orders.  In  earlier 
times  this  was  the  chief  way  in  which  a  factory  disposed 
of  its  product.  Nowadays  only  a  small  proportion  of  the 
total  sales  is  made  in  this  way,  the  greater  number  being 
made  by  the  traveling  salesman.  The  sample  rooms  are 
also  generally  used  as  headquarters  by  the  salesmen 
when  they  are  not  away  from  the  factory.  There  is 
of  course  a  constantly  increasing  mail-order  business  in 
most  liQes  of  manufacture. 

Positions  in  the  Sales  Department.  The  positions  in 
the  sales  department  are  the  sales  manager,  the  assist- 
ant sales  manager,  the  traveling  salesmen,  the  router  of 
sample  trunks,  the  correspondence  clerks,  the  catalogue 
clerks,  the  gtenographer,  and  the  messenger. 


THE  GENERAL  OFFICES  61 

The  usual  positions  in  the  sample  rooms  are  the 
sample    clerk,   clerks,   and   stenographer.  " 

The  Sales  Manager.  The  chief  function  of  the  sales 
manager  is  well  stated  in  the  following  quotation : 

The  sales  manager's  principal  duty  is  to  assist  the  salesmen  in 
selling  goods,  and  this  assistance  should  largely  come  in  doing 
things  that  the  salesman  on  the  road  has  not  time  to  do,  such  as 
laying  out  the  territory,  giving  a  list  of  customers  in  that  terri- 
tory and  also  a  list  of  prospects,  checking  up  a  salesman  on  his 
route,  not  for  the  purpose  of  spying  upon  him,  but  for  the  pur- 
pose of  pointing  out  to  him,  in  every  possible  way,  places  and 
customers  where  there  is  a  chance  for  him  to  sell  goods,  and, 
after  the  salesman  has  left  the  town,  to  keep  the  memory  of  the 
salesman's  visit  green  in  the  mind  of  the  customer  by  follow-up 
letters  and  advertising  helps. 

The  sales  manager  should  keep  the  salesman  constantly  in- 
formed as  to  conditions  on  the  salesman's  territory.  He  should 
notify  him  of  complaints,  notify  him  of  mail  orders,  and  treat 
each  and  every  customer  as  his  own  personal  customer  held  in 
trust  by  him  until  the  salesman  calls  again.  ^ 

The  Traveling  Salesman.  The  position  of  traveling 
salesman  is  so  important  in  a  department  which  dic- 
tates to  a  large  degree  the  policy  of  manufacture,  that 
it  deserves  special  treatment.  A  salesman  is  not  likely 
to  be  produced  by  actual  factory  service.  In  the  great 
majority  of  cases  the  person  chosen  for  this  field  must 
be  a  young  man  of  attractive  manner,  bright  and  clean- 
cut,  tactful  and  resourceful,  and  of  marked  ability  to 
acquire  for  his  firm  information  upon  trade  and  style 
conditions.  Frequently  he  is  selected  from  the  retail 
store.  He  usually  serves  an  apprenticeship  of  six 
months  in  the  stock-goods  department  or  in  the  sales 
1  The  Shoeman,  February,  1914,  Boston. 


62  BUSINESS  EMPLOYMENTS 

department,  to  learn  styles  and  qualities.  Then  in  the 
sales  oJEfice  he  learns  methods  of  selling  and  the  conditions 
put  upon  the  salesman.  He  becomes  familiar  with  the 
correspondence  between  the  firm  and  its  customers.  Then 
he  goes  upon  the  road,  following,  even  after  many  years' 
service,  a  route  laid  out  for  him  by  the  sales  department. 

Educational  or  Other  Requirement.  There  is  no  espe- 
cial education  required,  but  most  travelmg  salesmen  in 
recent  years  have  had  high-school  training.  Frequently 
now,  however,  college  graduates  are  entering  the  work 
because  of  its  promise  of  opportunity  and  financial  re- 
turn. Knowledge  of  a  foreign  language  is  necessary  to 
selling  in  a  foreign  field. 

In  selecting  salesmen  the  firm  takes  into  account  the 
place  of  residence  or  acquaintance  with  locality  and 
customers.  Thus  a  New  Englander  is  preferred  for  the 
New  England  field,  a  Westerner  for  the  Western  trade, 
a  Southerner  for  the  South,  or  an  Englishman  to  repre- 
sent an  American  firm  seeking  English  trade. 

A  Typical  Quotation.  The  following  quotation  is  typi- 
cal of  the  general  work  of  the  traveling  shoe  salesman, 
and  shows  the  importance  of  nationahty  and  language 
in  entering  a  foreign  field : 

SELLS  SHOES  IN  RUSSIA  ^ 

In  November  last  a  young  Russian  business  man  visited  Brock- 
ton for  the  purpose  of  obtaining  a  line  of  Brockton  shoes  to  sell  in 
Russia.  He  planned  to  travel  for  three  months  in  Russia  and 
Poland  following  the  introduction  of  the  goods,  and  then  return 
to  this  country,  thus  to  report  personally  to  the  manufacturers  in 
this  city  concerning  prospects  and  business  conditions.    He  left 

1  Boot  and  Shoe  Becorder,  April  8,  1914. 


THE  GENERAL  OFFICES  63 

the  United.  States  early  in  the  year  with  lines  of  shoes  and  other 
goods.  Under  date  of  February  15,  he  writes  the  Recorder  from 
Moscow  :  "  For  about  six  weeks  I  am  covering  my  Russian  trade 
selling  American  shoes.  Business  is  a  little  slow  in  starting. 
However,  we  should  not  expect  big  results  at  once.  I  have  learned 
that  the  Russian  field  is  a  promising  one  and.  I  hope  to  do  well  in 
the  near  future." 

This  young  man  is  one  of  many  young  foreigners  speaking 
several  languages,  who  are  representing  American  footwear  and 
other  lines  abroad. 

A  Salesman's  Advantages.  The  salesman  who  repre- 
sents the  more  interesting  and  easily  handled  lines  of 
merchandise  meets  people  generally  of  a  good  class  and 
becomes  acquainted  with  progressive  methods  in  busi- 
ness. He  is  likely  to  be  broad-minded,  and  to  have  per- 
sonal influence  with  his  firm,  whose  prosperity  he  largely 
determines,  and  with  retail  dealers  who  are  the  custom- 
ers of  his  firm.  In  the  case  of  one  of  the  best  known 
of  American  shoe  companies  the  man  who  was  the  first 
salesman  to  represent  the  company  on  the  road  is  now  its 
president ;  the  president  of  another  equally  well-known 
company  holds  also  the  position  of  sales  manager. 

A  Salesman's  Pay  and  Routine.  The  general  age  for 
entering  upon  the  work  of  the  salesman  is  from  twenty 
to  twenty-five  years.  In  his  preliminary  training  upon 
stock  and  methods  he  may  begin  at  |8  or  tlO  a  week 
and  rise  to  $15  a  week,  before  going  upon  the  road. 
On  the  road  he  starts  at  a  salary  varying  from  |1000 
to  11500  a  year,  with  traveling  expenses  paid,  and  a 
bonus  or  commission  upon  his  sales. 

Each  man  returns  to  the  factory  a  daily  record  of  ex- 
penses. He  makes  a  daily  report  of  calls  upon  dealers  and 


64  BUSINESS  EMPLOYMENTS 

of  sales  made,  with  a  statement  as  to  where  he  expects  to 
be  during  the  next  two  weeks,  following  out  the  general 
plan  given  him  by  the  sales  manager  or  sales  department. 

The  total  sales  of  the  average  traveling  shoe  salesman 
vary  from  |15,000  to  }25,000  a  year.  His  average  salary 
runs  from  |1000  to  |2500  and  expenses;  his  average 
period  of  service  is  ten  years.  His  active  work  in  many 
cases  falls  into  two  seasons  a  year,  of  about  sixteen 
weeks  each,  of  the  spring  and  early  summer  and  of  the 
fall  and  early  winter.  He  usually  visits  about  ten  towns  a 
week.  In  the  idle  period  of  eight  or  ten  weeks  following 
the  busy  season  some  salesmen  go  back  to  their  factory 
and  work  upon  samples  and  styles  for  the  coming  season ; 
other  salesmen  take  this  period  as  a  vacation.  In  any 
case  the  salesman  must  be  steadily  on  the  watch  for 
novel  styles,  for  new  methods  in  advertising,  and  for 
any  information  that  may  be  of  value  to  his  company. 

There  has  arisen,  in  more  recent  years,  a  general  move- 
ment to  have  traveling  salesmen  work  altogether  on  a 
commission  basis,  to  compel  them  to  get  business.  The 
difficulty  in  this  method,  for  the  young  man,  at  least,  is 
indicated  in  the  following  quotation : 

Five  per  cent  is  the  commission  paid  shoe  salesmen,  and  this 
means  paying  your  own  traveling  expenses. 

There  are  some  manufacturers  who  want  men  to  put  up  their 
own  money  to  build  up  the  manufacturer's  business.  Young  men, 
mostly  clerks,  who  have  saved  up  some  money  take  hold  of  these 
propositions  and  generally  soon  squander  their  savings.  The  small 
amount  of  business  they  work  up,  the  manufacturer  gets  the  bene- 
fit of ;  the  salesman  is  the  loser. 

All  the  responsibility  of  the  business  rests  practically  on  the 
salesman.    If  the  manufacturer  gives  him  a  line  of  samples,  he 


THE  GENERAL  OFFICES  65 

goes  out,  sells  shoes  from  these  samples,  and  if  the  goods  are  not 
made  in  accordance  with  samples,  the  salesman  loses  his  commis- 
sion. For  every  manufacturer  will  tell  you  that  he  pays  no  com- 
mission on  returned  goods.  .  .  . 

A  number  of  manufacturers  have  acted  favorably  on  the  mat- 
ter, and  it  would  seem  from  present  indications  that  the  time  is 
near  when  six  per  cent  will  be  the  minimum  for  traveling  shoe 
salesmen's  commissions.^ 

Disadvantages  in  a  Salesman's  Life.  The  disadvan- 
tages connected  with  the  work  of  a  traveling  salesman 
are  so  great  that  they  must  be  taken  into  consideration. 
He  is  away  from  home  and  family  frequently  two  or 
three  or  four  months  at  a  time.  He  may  find  poor  hotel 
accommodations  in  some  localities.  He  must  endure  ir- 
regularity of  meals,  poor  food  often,  and  loss  of  sleep 
caused  by  the  need  of  making  towns  on  schedule  time. 
He  may  be  troubled  by  local  train  facilities  or  by  driv- 
ing from  town  to  town  in  severe  weather.  He  may  have 
to  work  nights  and  Sundays  to  keep  up  to  schedule  and 
to  make  sales.  He  often  undergoes  heavy  mental  strain 
in  making  sales,  especially  to  large  customers.  The 
monotony  of  extended  yearly  trips  over  the  same  routes, 
with  conditions  that  wear  more  and  more  upon  a  person 
after  several  years,  leads  in  most  cases  to  a  strong  desire 
for  change  of  occupation.  Then  the  problem  of  changing 
to  a  profitable  occupation  or  of  establishing  himself  in 
some  other  position  may  become  a  difficult  matter.  Un- 
less one  is  a  member  of  his  firm  while  still  a  salesman 
or  holds  some  relation  to  it  of  especial  importance,  he  is 
not  likely  to  find  a  place  with  his  firm,  either  in  the 
offices  or  in  the  factory.  Nor  does  his  experience  fit  him 
1  The  Shoeman,  February,  1914,  Boston. 


6Q  BUSINESS  EMPLOYMENTS 

to  go  into  any  other  line  of  work,  unless  as  salesman  for 
a  concern  dealing  in  some  other  kind  of  product.  In 
general  the  traveling  salesman,  because  of  the  reasons 
above  stated,  becomes  unfitted  for  taking  up  a  new 
occupation  as  late  in  life  as  must  usually  be  the  case. 
The  traveling  shoe  salesman  in  seeking  another  line  of 
work  most  frequently  enters  a  retail  shoe  store  as  selling 
clerk,  becomes  manager  of  a  shoe  department  in  a  store 
or  of  a  branch  store  conducted  by  a  factory,  or  opens  a 
store  for  himself  in  some  locality  where  he  has  found  an 
opportunity  durmg  his  traveUng  experience.  In  some 
such  cases  the  firm  which  he  has  served  as  salesman 
favors  him,  even  to  supplying  a  stock  of  goods.  This 
method  opens  an  additional  outlet  for  merchandise  and 
is  a  natural  step  in  the  continual  change  in  the  per- 
sonnel of  the  selling  force. 

The  Rise  of  the  Modern  Traveling  Salesman ; 

I  have  made  a  research  into  every  available  source  to  ascertain 
the  cause  and  conditions  that  created  that  national  institution  — 
the  traveling  salesman. 

In  a  musty  volume  of  yesteryear  I  find  a  press  clipping  at- 
tributed to  a  New  York  newspaper  printed  in  1847,  as  follows : 

The  wholesale  stores  employ  clerks  whose  business  it  is  to  go  to  the 
hotels  and  make  the  acquaintance  of  the  visiting  merchants  in  order 
to  induce  them  to  buy  goods  of  the  firms  which  employ  them.  .  .  . 

And  later  as  history  is  written  we  find  that  a  few  years  pre- 
vious to  the  War  of  the  Rebellion,  "  the  house  "  frequently  sent 
men  on  road  trips  to  investigate  the  credit  of  customers  and  to 
report  impressions  and  conditions  in  communities. 

Very  often  these  emissaries  returned  with  memorandums  of 
orders  to  be  sent,  filling,  so  to  speak,  between  trips  to  market. 
This  was  of  course  before  the  days  of  the  mercantile  agencies 
which,  as  is  natural  to  suppose,  came  into  existence  after  the 
traveler  had  hewed  the  trail. 


THE  GENERAL  OFFICES  67 

Following  the  Civil  War,  particularly  in  the  South,  the  com- 
mercial traveler  sprang  into  existence,  and  his  advent  was  one  of 
the  most  constructive  measures  that  led  to  the  upbuilding  and 
restoration  of  commercial  conditions  so  prevalent  and  prosperous 
at  the  present  time.  .  .  . 

Necessity  being  the  mother  of  invention,  the  traveler  came 
into  being.  The  evolution  has  been  gradual,  and  is  growing  with 
the  years.  This  means  of  earning  a  livelihood  is  regarded  as  a 
profession,  and  through  organization  the  salesman  is  rapidly  se- 
curing recognition  everywhere.  At  the  present  time  the  science 
of  selling  has  reached  a  very  advanced  stage. 

The  salesman's  calling  typifies  an  art  in  the  highest  develop- 
ment, since  he  is  in  every  degree  an  exponent  of  the  modern  idea 
of  courageous  efEort  by  direct  personal  appeal,  and  in  the  short 
years  of  his  service  and  usefulness  Tie  has  revolutionized  business. 
The  traveling  salesman  has  transported  the  salesroom  from  dis- 
tant trade  centers  to  the  very  door  of  his  customer.  ^ 

The  Other  Business  Departments.  In  small  factories 
there  may  be  a  consolidation  of  departments  or  offices; 
in  a  large  factory  there  may  even  be  other  offices,  in  ad- 
dition to  those  already  described,  or  subdivisions  of  them. 
There  may  be  a  legal  department,  which  deals  with  all 
questions  of  law  affecting  a  firm  and  its  employees,  and 
represents  it  in  litigation.  For  this  an  attorney  may 
be  regularly  employed,  or  hired  upon  occasion.  There 
may  be,  also,  a  separate  machine-purchasing  department, 
for  the  buying  of  new  machines  or  for  the  transfer  of 
machines  from  one  factory  to  another. 

Some  large  companies  have  a  fully  equipped  auditing 
department,  separate  from  the  bookkeeping,  instead  of 
having  the  auditor  act  as  head  of  the  bookkeeping 
department. 

1  '*  Selling  Shoes  Away  from  Home  and  at  Home,"  by  John  A. 
Sullivan.    The  Shoeman,  February,  1914,  Boston. 


68  BUSINESS  EMPLOYMENTS 

The  Information  Office.  In  connection  with  the  gen- 
eral offices  of  most  manufacturing  companies  there  is 
found  one  devoted  to  serving  those  persons  who  come 
with  inquiries  of  various  sorts.  People  come  to  ask 
questions  about  business  or  manufacture,  to  see  employ- 
ees, officials  in  departments,  or  members  of  the  firm. 
It  is  highly  necessary  that  all  such  persons  should  be 
treated  with  courtesy  and  careful  consideration. 

In  this  office  there  may  be  one  or  more  attendants,  or 
information  clerks,  and  an  office  boy. 

Requirements  for  Service  in  the  General  Offices.  The 
personal  and  educational  requirements  for  service  in  the 
general  offices  of  a  factory  are  practically  the  same  as  in 
most  forms  of  mercantile  business.  For  the  higher  posi- 
tions one  must  have  executive  ability,  decision,  tact,  and 
judgment.  One  must  be  thoroughly  familiar  with  gen- 
eral business  conditions  in  a  community  and  throughout 
the  country  or  abroad.  For  the  responsible  positions  it 
is  becoming  more  and  more  advisable,  and  in  some  cases 
even  necessary,  that  one  shall  have  the  education  of  a 
high  school,  business  school,  or  school  of  business  ad- 
ministration. Increasingly  college  graduates  are  found 
going  into  the  large  factories  and  working  toward  the 
business  management  of  the  industry.  For  clerical  posi- 
tions one  should  have  the  training  given  by  the  gram- 
mar school  or  business  school ;  or,  if  his  work  is  special, 
like  that  of  the  bookkeeper  or  stenographer,  he  should 
have  particular  training  in  these  subjects.  There  is  an 
increasing  number  of  young  men  entering  the  business 
offices  of  the  factory  as  stenographers  and  operators  of 
typewriters,  or  doing  general  clerical  or  secretarial  work. 


THE  GENERAL  OFFICES  69 

Training  and  Promotion  in  the  Business  Offices.  It  is 
the  policy  of  the  modern  manufacturing  firm  to  employ 
young  men  and  train  them  for  the  higher  places  in  the 
business  departments,  although  one  company  frequently 
draws  men  for  important  as  well  as  for  less  important 
positions  from  another  company.  The  average  length  of 
service  of  gii-ls  and  women  in  business  departments  is 
from  three  to  four  years.  A  more  permanent  service 
can  be  maintained,  with  less  break  in  continuity  and 
increased  efficiency  of  the  entire  system,  by  filling  the 
important  positions  with  men. 

In  some  of  the  larger  concerns,  where  methods  of  train- 
ing and  promotion  to  every  position  are  highly  organized, 
there  is  some  employee  who  is  being  particularly  fitted 
to  take  the  position  above  him,  so  that  gradually  promo- 
tion takes  place  all  along  the  line,  and  the  necessary 
changes  in  personnel  do  not  affect  the  efficiency  of  the 
business  departments  as  a  whole. 

There  are  many  positions  from  that  of  the  messenger 
boy  to  the  managers  of  the  departments  and  the  high 
officials  of  the  firm  to  be  filled  with  more  or  less  per- 
manency. Graduates  of  high  schools  and  colleges  in  in- 
creasing numbers  are  entering  the  messenger  service  for 
special  experience  and  training  that  wiir give  them  pro- 
motion until  they  find  themselves  in  the  higher  places. 
Such  is  the  policy  of  most  large  firms  in  training  their 
own  executives.  Sometimes  the  messenger  boys  or  young 
men  are  sent  out  for  observation  in  factories  and  as  gen- 
eral helpers  to  the  superintendents  of  factories  or  depart- 
ments, until,  if  they  have  ability  and  application  and  the 
qualities  necessary  for  handling  or  dealing  with  numbers 


TO  BUSINESS  EMPLOYMENTS 

of  employees,  they  become  assistant  superintendents  in 
the  factory  itself. 

Young  men  who  seem  to  give  promise  are  usually 
chosen  for  this  particular  training,  which  is  sometimes 
called  a  "  factory  apprentice  course."  They  follow  this 
course  for  three  or  four  years  before  reaching  the  assist- 
ant's position,  becoming  familiar  with  the  practical  end 
of  manufacture  and  with  the  feelings  of  employees.  Men 
with  such  experience  become  very  valuable  to  the  firm, 
since  they  understand  both  the  business  side  and  the 
manufacturing  side,  and  their  great  duty  is  to  harmonize 
the  interests  of  the  two  for  the  business  success  of  the 
entire  establishment.  Sometimes,  but  in  less  degree  at 
the  present,  this  plan  includes  the  training  of  foremen 
who  may  thus  become  superintendents. 


CHAPTER  III 
THE  FACTOEY  OFFICES 

A  pair  of  shoes  in  the  making,  like  a  pair  of  shoes  in 
the  wearing,  has  a  long  road  to  travel.  But. there  is  this 
difference :  for  shoes  in  the  making  the  road  is  marked 
out  in  advance.  The  exact  course  of  their  journey  can 
be  predicted. 

We  have  already  followed  part  of  it,  as  we  analyzed 
the  work  of  the  executive  and  the  general  offices.  Sup- 
pose now  that  those  two  divisions  of  our  typical  estab- 
lishment have  done  their  share  of  the  work.  The  board  of 
directors,  through  the  president  or  general  manager  and 
his  staff,  have  provided  a  plant,  equipment,  and  working 
capital.  Advertising  department  and  sales  department 
have  secured  a  market  for  the  product.  Order  depart- 
ment, credit  department,  and  cost  department  have  made 
sure  that  that  market  is  a  profitable  one.  Orders  have 
come  in  and  been  accepted  for  delivery  at  a  certain  date. 
The  purchasing  department  has  laid  in  a  supply  of  all 
necessary  materials;  the  employment  department  has 
secured  a  full  force  of  operatives ;  the  efficiency  depart- 
ment has  brought  everything  to  its  highest  effectiveness. 
All  is  ready  for  the  actual  making  work  of  the  factory. 

Factory  Routine.  From  this  point  on  manufacture  be- 
comes more  or  less  a  matter  of  routine  work.  The  more 
completely  and  effectively  an  establishment  is  organized, 

71 


V2  BUSINESS  EMPLOYMENTS 

the  more  literally  is  this  statement  true.  In  an  ideal  fac- 
tory the  processes  from  this  point  on  would  be  automatic. 

This  routine  is  the  essential  point  of  difference  between 
old-time  handicrafts  and  modern  manufacturing.  A  crafts- 
man, a  cobbler,  for  example,  attacks  a  series  of  personal 
problems.  At  each  stage  of  his  work  he  must  decide 
what  to  do  and  how  to  do  it.  The  great  achievement  of 
modern  manufacture  consists  in  changmg  such  a  series 
of  problems*  to  be  solved  into  a  series  of  standardized 
processes  to  be  gone  through.  This  change  from  per- 
sonal to  routine  activity  has  been  brought  about  by  or- 
ganization, and  its  effects  are  very  apparent.  A  good 
cobbler  makes  perhaps  one  pair  of  shoes  a  day.  In  a 
thoroughly  modern  factory  four  or  five  pairs  of  finished 
shoes  are  turned  out  daily  for  every  pair  of  hands  em- 
ployed in  the  work.  Yet  no  single  operator  works  any 
harder  to  turn  out  many  pairs  than  a  cobbler  does  to 
turn  out  one  pair.  Organization  has  multiplied  individ- 
ual productive  capacity,  that  is  all.  And  we  all  reap 
the  benefit  of  the  decreased  labor  cost. 

The  Factory  Offices.  The  routine  operations  of  manu- 
facture fall  into  two  divisions,  industrial  and  business. 
They  go  on  simultaneously,  in  the  factory  and  in  the 
factory  offices.  In  the  factory, — for  example,  in  cut- 
ting room,  lasting  room,  stitching  room,  finishing  room, 
packing  room,  and  shipping  room,  —  the  raw  materials, 
leather,  cloth,  thread,  nails,  buttons,  blacking,  are  brought 
together  a^d  united  in  the  finished  shoes,  boxed  and  cased 
ready  to  go  out  to  the  dealers.  In  the  factory  oflfices  all 
these  itianufacturing  processes  are  planned  for,*  kept  track 
of,  and  recorded. 


Cost  Depart- 
ment 
Head 

Assistants 
Clerks 

\ 

Pay  Roll 
Department 
Paymaster 
and  Office 
Force 

Checking 
Department 
Manager  and 
Office  Force 

Schedule 

Department 

Foreman 

Clerks 

Stenographer 

\i 

fa 

o 

s 

e 

< 

a 

i 

o 

o 

Supply 

Department 

Foreman 

Stockman 

Clerks 

Messengers 

^^ 

Efficiency 
Department 
Manager  and 
Office  Force 

Dispatch 
Department 
Manager  and 
Office  Force 

/  / 

/ 

Tag  Depart- 
ment 
Manager  and 
Office  Force 

Advance 
Information 
Department 
Manager  and 
Office  Force 

73 


74  BUSINESS  EMPLOYMENTS 

The  factory  offices,  therefore,  deal  with  all  the  routine 
business  details  connected  with  manufacture.  Such  de- 
tails are  necessarily  very  numerous,  and  thorough  organi- 
zation is  necessary  to  keep  them  properly  separated,  yet 
combined.  The  chart  on  page  73  shows  the  names  of  the 
different  factory  offices,  and  gives  a  clear  idea  of  the  way 
they  are  related  to  each  other  and  to  the  whole  business. 

Where  an  industry  is  confined  to  a  single  factory,  or 
where  a  large  plant  has  a  central  administration  build- 
ing, the  factory  offices  may  be  associated  with  the  gen- 
eral offices.  In  the  case  of  separate  or  scattered  factories 
conducted  by  a  single  company,  some  of  the  factory 
offices  may  be  located,  often  in  subdivisions,  in  the  vari- 
ous factories.  But  in  all  cases  they  are  in  the  closest 
touch  with  manufacture,  and  give  at  all  times  a  com- 
plete record  of  the  plans,  conditions,  and  progress  in 
actual  work  in  the  factory. 

The  Department  of  Advance  Information.  The  first 
division  of  the  factory  offices  is  the  department  of  ad- 
vance information,  which  has  the  function  of  provid- 
ing, in  advance  of  actual  work  in  the  factory,  all  the 
information  necessary  to  planning  that  work.  It  takes 
off  all  the  particulars  of  orders  received  by  the  firm, 
and  analyzes  them,  so  that  they  may  be  handled  ad- 
vantageously. It  keeps  a  record  of  materials  on  hand, 
of  facilities  for  work,  and  of  special  features  or  kinds  of 
labor  which  must  be  secured  in  advance  of  work  actu- 
ally to  be  done.  Orders  thus  copied  and  provided  for  it 
turns  over  to  the  tag  department,  and  notifies  the  manu- 
facturing departments  in  the  factory  of  work  com- 
ing, so  that  due  provision  may  there  be  made  for  it. 


THE  FACTORY  OFFICES  75 

The  mass  of  material  collected  and  recorded  by  this 
department  may  include  thousands  of  items  each  season. 

The  work  of  collecting  information  is  very  closely 
related  to  that  of  the  dispatch  department,  and  may  be 
combined  with  it. 

Positions  in  the  Department  of  Advance  Information. 
The  positions  in  this  department  are  the  manager,  the 
assistant  manager,  the  copying  clerks,  the  recording 
clerks,  the  stenographer,  and  the  messenger. 

The  Tag  Department.  The  tag  department  furnishes 
the  factory  with  all  the'  detailed  instructions  needed  for 
the  actual  making  of  shoes.  From  the  orders  received 
by  the  order  department,  after  credits  have  been  deter- 
mined, or  from  the  data  copied  from  the  orders  by  the 
department  of  advance  information,  the  tag  department 
makes  out  the  tags  which  are  so  important  in  shoe  mak- 
ing. They  cover  every  point  of  specification  or  kind, 
size,  and  style  for  the  making  of  each  lot  of  shoes  or 
other  factory  product.  The  tags  are  then  reviewed  or 
examined  by  reviewing  clerks  or  by  the  sales  depart- 
ment, to  see  whether  they  agree  with  the  corresponding 
orders.  They  then  go  to  the  dispatch  department,  to  be 
put  through  the  factory  in  proper  sequence.  Most  fac- 
tories use  the  tag  system,  necessarily  covering  the  same 
or  similar  particulars  of  manufacture. 

The  Foreman's  Tag.  The  foreman's  tag  shows  when 
a  job  of  work  is  sent  to  a  department  and  when  it  is 
received.  It  shows  the  number  of  the  job  and  tile  name 
of  the  operator  doing  the  work  in  the  department,  and 
provides  for  a  record  and  explanation  of  faults  in 
workmanship. 


76 


BUSINESS  EMPLOYMENTS 


Positions  in  the  Tag  Department.  The  usual  positions 
in  this  department  are  the  manager,  the  assistant  mana- 
ger, the  tag  clerks,  the  tag  reviewers,  the  general  clerks, 
the  stenographers,  and  the  messenger. 


Sent  to 


foreman's   Tag 


From 


TIME  SENT 


TIME  RECEIVED 


TIME  SENT 


TIME  RECEIVED 


O 


1          1          1          1 

Faults 

-V              CASE  NO.                                     OPERATOR 

CHECK  NO. 

POINTS 

"^  Foreman 

••- - - 

(Reverse) 

The  Dispatch  Department.  The  dispatch  department 
stands  between  the  tag  department  and  the  factory.  Its 
duty  is  to  turn  orders  into  the  factory  in  proper  se- 
quence, and  to  see  that  ample  provision  is  made  for  put- 
ting them  through,  that  they  pass  from  one  department 


THE  FACTORY  OFFICES  77 

to  another  on  schedule  time,  and  are  ready  for  deliv- 
ery on  the  dates  specified  in  the  orders.  Its  function 
is  to  facilitate  manufacture,  and  it  may  inclade  the 
gathering  of  advance  information  when  there  is  not 
a  separate  department  for  that  purpose.  The  dispatch 
department  governs  the  flow  of  work  into  the  factory 
so  that  its  various  departments  or  divisions  are  properly 
supplied  with  a  uniform  amount  of  work,  the  full 
working  capacity  of  each  being  determined  by  the 
advance    information   received. 

In  some  large  factories  the  dispatch  department  uses 
an  elaborate  tabulating  system  for  recording  the  great 
quantity  of  information  necessarily  collected  and  used 
for  expediting  shoe  manufacture. 

In  enforcing  regulations  governing  the  flow  of  work 
into  the  factory  the  dispatch  department  employs  a  day- 
sheet  section  and  a  tracing  section. 

The  Day-Sheet  Section  of  the  Dispatch  Department. 
The  day-sheet  section  issues  regularly  day  sheets  or 
bulletins.  These  show  accurately  each  and  every  lot 
of  shoes  for  which  an  order  goes  into  the  factory  on  a 
given  day,  and  also  the  schedule  time  when  the  last 
lot  of  each  day's  orders  should  pass  a  given  point.  The 
day  sheet  shows  also  the  exact  items  of  product  com- 
posing a  particular  day's  work.  Duplicate  copies  of  the 
day  sheet  are  sent  to  the  various  departments  of  the 
factory,  being  kept  there  until  each  lot  of  shoes  speci- 
fied upon  the  sheet  passes  through  and  is  recorded. 
The  day  sheet  is  a  record  of  actual  work  to  be  done 
and  of  its  accomplishment.  It  is  used  in  all  shoe  fac- 
tories as  well  as  in  many  other  lines  of  manufacture. 


78  BUSINESS  EMPLOYMENTS 

The  Tracing  Section  of  the  Dispatch  Department.    The 

tracing  section  follows  up  and  records  the  factory  work 
as  it  passes  given  points  each  day,  so  that  the  progress 
of  each  order  may  be  known  at  all  times. 

Positions  in  the  Dispatch  Department.  The  positions 
in  the  dispatch  department  are  the  manager,  one 
or  more  assistant  managers,  the  chief  clerk  for  the 
day-sheet  section,  the  day-sheet  clerks,  the  chief  clerk 
for  the  tracing  section,  the  tracing  clerks,  the  chief 
clerks,  and  clerks  for  subdivisions  of  work  relating  to 
particular  divisions  of  the  factory. 

The  Efficiency  Department.  The  efficiency  manager 
has  already  been  spoken  of  in  Chapter  I  in  connec- 
tion with  the  executive  offices.  Among  the  factory 
offices,  and  closely  related  to  the  dispatch  department, 
some  large  manufacturing  concerns  have  an  efficiency 
department.  Various  other  names  are  used  for  this  divi- 
sion, such  as  planning,  labor,  or  production  department. 
Sometimes  these  are  subdivisions  of  the  efficiency  office. 

Whatever  name  it  bears,  the  efficiency  department 
has  to  do  with  the  observation  and  supervision  of  labor 
in  the  factory,  with  the  hiring  of  foremen  and  super- 
intendents in  many  cases,  with  whatever  scientffic 
management  and  time-study  there  may  be,  and  with 
the  maintenance  of  a  uniform  production  throughout 
the  year  as  far  as  possible.  To  maintain  uniform  pro- 
duction, which  is  the  great  problem  of  industry  at  the 
present  time,  large  orders  are  solicited  far  in  advance 
of  their  delivery,  and  distributed  through  the  year,  so 
that  the  factory  will  be  constantly  in  operation.  The 
result  is  a  lower  average  cost  of  manufacture  and  a 


THE  FACTORY  OFFICES  79 

lower  price  to  consumers,  which  increases  the  demand 
for  a  particular  article.  Constant  operation  is  also  an 
inducement  to  the  most  efficient  employees  in  the 
various  branches  of  the  industry  to  seek  such  factories, 
and  so  there  is  built  up  a  prosperous  and  contented 
body  of  employees. 

The  efficiency  department  in  a  modern  factory  has 
supervision  over  all  divisions  of  manufacture,  to  insure 
effective  methods  and  results.  It  works  under  the  gen- 
eral superintendent  of  the  factory,  or  in  close  coopera- 
tion with  him. 

Example  of  a  Firm  Conducting  Efficiency  Work.  One 
large  and  well-known  firm  of  New  England  shoe  manu- 
facturers, which  has  shown  phenomenal  growth  during 
the  last  twenty  years,  has  a  very  elaborate  system  for 
insuring  labor  efficiency  and  production,  and  employs 
a  large  number  of  experts  in  its  offices  and  manufactur- 
ing departments.  For  eight  or  nine  years  this  company 
has  had  little  idle  time  in  its  factories  except  the 
natural  breaks  of  the  holidays. 

A  Conservative  View  of  Efficiency  Work.  On  the  other 
hand  many  intelligent  employers  and  business  men  as 
well  as  employees  look  with  distrust  upon  the  so-called 
"  efficiency  "  movement.  They  claim  that  it  has  assumed 
undue  importance ;  that  it  has  dealt  with  theoretical 
improvement  rather  than  practical  gains;  and  that  at 
best  the  recommendations  of  an  efficiency  expert  should 
have  the  weight  of  business  advice  only,  with  no  direct 
authority  for  accomplishing  changes.  They  would  regard 
him,  when  employed  at  all,  as  a  staff  officer ;  one  of  sev- 
eral or  many  upon  whose  service  the  general  manager 


80  BUSINESS  EMPLOYMENTS 

may  rely  for  such  information  and  suggestion  as  shall 
enable  him  to  maintain  absolute  and  wise  direction 
over  business. 

Positions  in  the  Efficiency  Department.  The  positions  in 
the  efficiency  department  are  the  efficiency  manager,  the 
heads  of  divisions,  such  as  labor  or  production,  the  assist- 
ants, the  clerks,  the  stenographer,  and  the  messenger. 

The  Raw-Material  Office  or  Department :  Upper-Leather 
Office.  Some  large  manufacturing  establishments  have  a 
department  in  charge  of  the  passing  into  the  factory  of 
the  raw  materials  of  manufacture.  A  conspicuous  ex- 
ample is  the  "  upper-leather  office  "  of  the  shoe  factory. 

The  work  of  the  upper-leather  office  or  department  fol- 
lows that  of  the  dispatch  department.  It  receives  the  tags 
calling  for  material  for  the  lighter  parts  of  the  shoe,  sepa- 
rates them,  and  stamps  them  with  the  stock  numbers  re- 
quired. The  tags  coming  here  consist  of  three  or  four 
parts,  specifying  the  materials  for  trimmings,  for  tips, 
for  the  top  of  the  shoe,  and  for  the  quarter  when  a  shoe 
is  cut  from  two  kinds  of  stock.  A  cutter's  card  is  made 
up  for  the  selection  of  each  lot  of  stock  and  later  accom- 
panies it  to  the  cutting  room.  The  stock,  whether  leather 
or  cloth,  is  selected  by  the  scheduled  number,  with  care- 
ful allowance  for  square  feet,  and  made  up  into  bunches 
or  "  jobs  "  for  the  cutters.  Each  card  tells  the  kind  of 
stock,  price,  weight,  number  of  pairs  of  shoes  to  be  made 
and  case  number,  foot  allowance  or  square  feet  of  leather 
allowed  for  the  job,  pattern  number,  and  estimated  value 
of  stock.  The  cards  all  come  back  from  the  cutting  room 
to  the  upper-leather  office  for  figuring  loss  and  gain  in 
square  feet  and  cost  of  leather  against  each  cutter,  as 


THE  FACTOEY  OFFICES  81 

an  efficiency  record  for  each.  All  results  are  reported 
to  the  cost  department. 

All  bills  for  upper  leather,  cloth,  or  trimmings  are 
checked  up  here,  entered  into  an  invoice  book,  approved 
by  the  purchasing  agent  for  upper  leather,  and  sent  to 
the  bookkeeping  department. 

The  upper-leather  office  is  in  many  cases  made  a  fac- 
tory department  or  division  in  connection  with  the  cut- 
ting room.  In  any  case  it  is  the  meeting  point  between 
office  routine  and  factory  operation. 

Positions  in  the  Upper-Leather  Office.  The  positions 
in  this  department  are  as  follows :  the  foreman,  the 
assistant  foreman,  the  clerks  on  stock  cutting  and  cut- 
ters' reports,  the  tag  clerks,  the  figuring  clerks,  and  the 
messenger. 

The  Supply  Department.  The  supply  department,  called 
sometimes  merely  the  supply  room,  keeps  on  hand  all  the 
materials  that  enter  into  a  particular  kind  of  manufac- 
ture. It  has  charge,  also,  of  supplies  of  all  kinds  for  the 
offices  and  for  factory  maintenance  and  repair,  such  as 
machine  parts,  electrical  parts,  racks,  and  tools  for  work 
in  various  rooms.  Supplies  come  to  the  supply  room 
from  the  receiving  department,  after  being  checked  up, 
or  directly  from  the  dealers  who  furnish  them.  They 
are  kept  in  the  supply  department  until  called  for  by 
the  factory  departments.  Accurate  records  are  kept  of 
all  the  materials  received,  those  on  hand  at  any  time, 
and  those  sent  out  upon  requisition.  The  stock  man 
is  responsible  for  all  goods  delivered  to  him  by  the 
receiving  room  and  for  their  care  until  given  over  to 
departments. 


82 


BUSINESS  EMPLOYMENTS 


Positions  in  the  Supply  Department.  The  positions  in 
this  department  are  the  foreman,  the  stock  man,  or 
supply  keeper,  the  clerks,  and  the  messengers. 


REQUISITION  ON  FACTORY  DEPARTMENTS 

NOT   FOR    USE  ON    PURCHASING    DEPARTMENT 

Goods  wanted,  bv  ^^                                                 irinnr 

pppt 

TTonr                          Tti^ff^                           1Q 

r  Signature  of 
Approved  by                          t  Foreman  ordering 

Telephone  all  requisitions  to  the  Supply  Room  unless  in  SPECIAL  hurry  for  goods 

QUANTITY 

DESCRIPTION   OF  ARTICLES 

Form 

Filled  by 

A  TYPICAL  REQUISITION  FORM 


The  Schedule  Department.  The  schedule  department 
keeps  a  record  of  all  changes  in  methods  and  processes 
of  manufacture.  Such  changes  must  be  approved  by 
the  head  of  the  department,  or  by  such  an  official  as  the 
quality  man  or  the  superintendent  of  machinery.  The 
department  notifies  each  room  in  the  factory  of  changes 
approved  and  to  be  put  into  effect.  The  schedule  de- 
partment is  the  machinery-efficiency  department. 


THE  FACTOEY  OFFICES  83 

Positions  in  the  Schedule  Department.  The  positions 
connected  with  the  schedule  department  are  the  fore- 
man, the  clerks,  and  the  stenographer. 

The  Checking  Department.  In  the  checking  depart- 
ment the  work  of  all  piece  operatives  in  a  factory  is 
recorded  or  checked  up.  Every  operator  makes  out  each 
day  in  the  factory  a  regular  form  covering  his  previous 
day's  work,  and  deposits  it  in  his  department.  These 
forms  are  sent  to  the  checking  department  where  they 
are  transcribed  in  books  under  the  name  and  number  of 
each  operator,  each  one  having  an  individual  check  num- 
ber. Thus  the  work  or  efficiency  record  of  each  em- 
ployee may  be  seen  at  any  time.  In  certain  parts  of  the 
factory,  such  as  the  making,  finishing,  and  packing  room, 
coupons  are  filled  out  in  the  same  way.  All  records  are 
kept  in  files  in  the  checking  department  until  they  are 
turned  over  to  the  pay-roll  department  for  the  making 
out  of  the  pay  roll. 

In  some  factories,  especially  those  doing  a  small  busi- 
ness, the  work  of  checking  is  done  in  the  pay-roll 
department. 

Positions  in  the  Checking  Department.  The  positions 
in  the  checking  department  are  as  follows :  the  manager, 
the  assistant  manager,  the  copying  clerks,  the  checking 
clerks,  the  enumerators  or  computing  clerks,  the  adding- 
machine  operators,  the  filing  clerks,  and  the  stenographers. 

The  Pay-RoU  Department.  The  pay-roll  department 
keeps  a  record  of  the  earnings  of  each  employee,  and 
has  charge  of  payment  at  regular  periods.  It  gives  out 
check  numbers  for  work  records  and  keys  of  lockers  to 
all  persons  entering  into  employment  in  the  factory.  The 


84 


BUSINESS  EMPLOYMENTS 


lists  and  figures  for  earnings  received  from  the  checking 
department  are  entered  in  books  and  the  amounts  due 

employees  are  com- 
puted. The  time 
cards  of  the  day  or 
week  workers,  show- 
ing actual  wages,  are 
also  kept  in  this  de- 
partment. 

Pay  slips,  giving 
the  amount  due  each 
worker  up  to  the 
time  limit  covered 
by  the  pay,  are  made 
out  and  sent  to  each 
department  one  or 
two  days  in  advance 
of  the  payment,  so 
that  each  person  may 
know  what  he  is  to 
receive.  The  pay-roll 
department  puts  up 
money  in  envelopes, 
numbered  for  each 
worker,  and  distrib- 
utes them  to  the  fore- 
men in  departments 
at  the  time  when 
payment  is  to  be  made,  usually  at  the  close  of  the 
working  hours  on  Saturday.  On  receiving  his  pay  en- 
velope the  employee  signs  and  returns  his  pay  slip  as  a 


1 

DAY 

IN 

LOST   OR 
OVERTIME 

OUT 

— 

OUT 

IN 

w 

A.  M. 

P.M. 

T 

A.  M. 

P.M. 

F 

A.  M. 

P.M. 

S 

A.  M. 

P.M. 

s 

A.  M. 

P.M. 



M 

A.  M. 

P.M. 

T 

A.  M. 

P.M. 

Total  time hrs. 

Rate 

Total  wages  for  week,  $. 

EMPLOYEE'S  WEEKLY  RECORD  CARD 


THE  FACTOEY  OFFICES 


85 


receipt.  Pay  usually 
covers  the  week  end- 
ing from  three  to  five 
days  preceding  the 
time  of  payment. 
•  Some  factories  use 
a  duplicate  coupon 
system  jof  payment, 
by  which  the  opera- 
tives figure  their  own 
earnings,  retaining 
one  coupon  and  pass- 
ing the  other  in  to 
the  pay-roll  depart- 
ment. The  depart- 
ment then  refigures 
the  earnings  from 
work  records  sent 
in  by  the  checking 
department.  This 
system  enables  an 
operative  to  see  what 
he  is  earning  daily. 

Positions  in  the 
Pay-roll  Department. 
The  positions  are  the 
following:  the  pay- 
roll manager,  or  pay- 
master, one  or  more  assistants,  the  pay-roll  clerks,  the 
pay-slip  or  employment-slip  clerks,  the  addressing  clerks, 
the  stenographers,  and  the  messengers. 


No. 

Name 

Date 

Occupation 

No.  Set 

Pairs 

Kinds 

PrtM 

Amount 

V^ 

r^ 

Q 

D 

1 

PIECEWOliKER'S  CARD 


86  BUSINESS  EMPLOYMENTS 

The  Cost  Department.  The  cost  department  makes  an 
exact  estimate,  in  advance  of  manufacture,  of  all  the 
styles  and  grades  of  articles  to  be  made  by  the  factory, 
so  as  to  determine  the  grade  of  material  to  be  used,  the 
cost  of  labor  on  the  work,  and  the  prices  at  which  articles 
should  be  sold  to  the  trade.  The  department  regularly 
receives  reports  from  the  various  factory  rooms  giviug 
the  costs  of  materials  used,  and  furnishing  a  basis  for 
computation.  Usually  the  retail  price  is  fixed  by  the 
sales  department  or  by  firm  officials,  in  advance. of  the 
cost  estimate  on  particular  lots,  according  to  the  general 
policy  of  the  factory. 

The  estimating  of  cost  is  most  important  in  manufac- 
ture, yet  the  department  is  sometimes  a  small  one,  and 
may  not  even  have  a  separate  office.  Its  work  is  done 
mainly  by  a  single  individual  or  head,  who  may  also  be  a 
high  official  in  the  firm.  He  may  have  one  or  two  special 
assistants  and  clerks  to  aid  in  preparing  cost  estimates. 

The  Expense  Department.  In  some  factories  the  term 
used  for  the  cost  division  is  expense  department.  There 
is  found  quite  generally,  however,  a  separate  expense 
department,  which  is  not  concerned  with  the  supervi- 
sion and  control  of  the  general  costs  of  shoemaking, 
but  controls  simply  the  running  expenses  of  the  com- 
pany, such  as  office  and  repair  expenditure.  This  is  a 
small  division  with  routine  duties,  and  generally  has 
an  expense  manager  and  one  or  more  assistants.  All 
offices  and  departments  concerned  report  their  general 
expenditure  regularly  to  the  expense  office  or  to  the 
supervisor  or  manager  of  expense,  so  that  department 
expenditures  and  the  total  running  costs  of  the  factory 


THE  FACTORY  OFFICES  87 

may  be  known  at  any  time.  In  some  cases  the  control 
of  the  expenses  of  the  running  of  the  factory  offices  and 
of  manufacture  is  maintained  by  the  factory  manager  in 
connection  with  his  other  duties.  The  expense  manager 
approves  the  advance  estimates  of  department  outlays,  or 
reviews  such  costs  after  they  have  been  met,  to  see  that 
they  are  within  the  limits  set  by  the  policy  of  the  company. 

The  Messenger  Service.  The  messengers  connected 
with  the  various  factory  offices  are  grouped  in  some 
factories  under  a  definite  head  or  supervisor  with  head- 
quarters at  some  convenient  place  in  the  factory,  and 
are  sometimes  organized  as  a  department.  This  group 
may  also  include  the  messenger  or  errand  boys  of  the 
factory  itself.  Sometimes  the  messengers  have  fixed 
stations  and  go  to  each  office  or  room  at  stated  times, 
besides  always  going  upon  call. 

The  duty  of  messengers  is  to  do  errands  among 
offices  and  factory  departments.  They  distribute  office 
supplies,  factory  mail,  and  also  such  things  as  materials 
or  machine  parts  when  these  are  desired  quickly  in 
departments.  They  attend  to  messages  and  errands  that 
cannot  be  handled  by  telephone. 

Promotions  from  the  Messenger  Service.  In  large  fac- 
tories we  find,  under  this  plan  of  organization,  a  trained 
messenger  service  which  sometimes  fits  boys  for  other 
positions  in  the  offices  or  factory.  The  general  offices 
in  some  factories  train  messengers  rather  for  the  mana- 
gerial positions,  as  has  been  indicated  earlier  in  that 
connection,  while  the  organized  service  of  the  offices 
closely  associated  with  manufacture  trains  them  mainly 
for  routine  positions.    In  a  small  factory,  however,  there 


88  BUSINESS  EMPLOYMENTS 

may  be  no  special  organization  of  the  messenger  service, 
and  little  difference  in  the  opportunities  it  offers  for 
promotion. 

Some  factories  have  mechanical  devices,  such  as 
endless  belts  on  which  packages  may  be  placed  and 
deposited  at  desired  points,  for  carrier  service  among 
departments,  thus  lessening  the  work  of  the  messenger 
service. 

Industrial  Service.  Many  large  factories  have  es- 
tablished elaborate  systems  of  what  has  been  called 
"  welfare  work."  The  term  now  coming  into  use,  and 
indicating  a  more  genuine  effort  to  promote  the  inter- 
ests of  the  workers  by  providing  advantageous  work 
conditions  and  social  outlook,  is  "  industrial  service." 
Such  service  is  becoming  more  and  more  an  important 
feature  in  the  conduct  of  large  business  and  manu- 
facturing concerns.  In  the  smaller  factories,  however, 
whose  employees  live  near  by  and  spend  only  their 
actual  working  hours  at  the  factory,  until  very  re- 
cently little  has  been  done  along  these  lines,  socially, 
educationally,  or  industrially,  for  the  general  welfare 
of  the  body  of  employees. 

The  training  given  to  the  employees  in  office  service 
and  to  machine  operators  or  other  factory  workers,  for 
their  efficiency  and  promotion,  and  the  maintaining  of 
restaurants  for  the  convenience  of  those  living  at  a  dis- 
tance, have  been  of  the  nature  of  industrial  service,  and 
have  opened  the  way,  in  a  measure,  to  other  important 
features.  Some  of  these  features  are  hospitals,  or  sepa- 
rate quarters,  with  trained  nurses  and  hospital  equip- 
ment and  physicians  attendmg  at  regular  periods,  or 


THE  FACTORY  OFFICES  89 

simply  "  emergency  cabinets,"  with  persons  detailed 
to  look  after  their  use ;  rest  rooms  and  recreation  or 
social  rooms  for  girls,  usually  with  pianos  and  appro- 
priate furnishings ;  recreation  and  gymnasium  quarters, 
or  game  rooms,  for  men  and  boys ;  separate  rooms 
for  employees  who  bring  lunches  from  home ;  factory 
restaurants  with  divisions  or  separate  rooms  or  tables 
for  various  groups  of  people  employed  by  the  firm ; 
general  libraries  and  reading  rooms ;  rest  rooms  and 
classes  for  salesmen;  men's  clubs  and  women's  clubs 
and  classes;  lecture  courses,  social  meetings,  and  out- 
ings, and  sometimes  parks  and  playgrounds  around 
the  factory. 

Welfare  work  has  been  regarded  in  many  cases  as  a 
means  of  diverting  public  attention  from  actual  unsatis- 
factory conditions  or  practices  in  a  manufacturing  plant, 
or  as  an  overhead  charge  that  resulted  in  keeping  down 
the  wages  of  employees.  To  be  of  genuine  value  in 
the  industrial  world,  and  to  merit  the  commendation 
of  public  opinion,  industrial  service  should  be  corre- 
lated with  improved  conditions  of  fair  dealing  with 
employees,  with  a  just  gradation  in  wage  rates,  or 
with  other  features  directly  associated  with  democratic 
employment. 

Positions  in  the  Industrial-Service  Department.  The 
positions  in  this  department  vary  according  to  the 
degree  of  organization  of  industrial  service  in  a  factory. 
There  may  be  but  two  or  three  persons  connected  with 
this  work,  or  a  large  number,  each  with  a  special  line 
of  duty.  The  positions  are  substantially  as  follows: 
the  weKare   manager,  the   assistant  welfare  manager, 


90  BUSINESS  EMPLOYMENTS 

the  educational  director,  the  physical  director,  the  fac- 
tory physician,  the  factory  nurse,  the  medical-cabinet 
attendant,  the  attendants  for  rest  rooms,  social  rooms, 
reading  rooms,  and  game  rooms,  the  club  and  class 
leaders,  the  librarians,  the  restaurant  manager,  assistants, 
waiters,  and  general  helpers. 

The  Requirements  for  Service  in  the  Factory  Offices. 
The  educational  and  personal  requirements  for  service 
in  the  higher  positions  in  the  factory  offices  are  much 
the  same  as  in  the  general  offices,  —  high-school,  busi- 
ness-school, or  college  education,  and  ability  to  plan  and 
to  handle  groups  of  employees.  For  the  minor  positions 
one  should  have  a  grammar-school  or  business  course, 
and  power  to  work  patiently  and  accurately  upon  the 
many  details  necessarily  connected  with  modern  manu- 
facture. Factory  experience  itself  is  of  great  value  for 
one  who  does  the  associated  office  work,  as  in  tag  writ- 
ing or  handling  the  forms  that  deal  with  the  particulars 
of  manufacture.  For  the  more  important  positions  in 
industrial  service  one  should  have  experience  at  least 
on  the  business  side  of  manufacture  and  in  social  or 
civic  work,  an  attractive  and  persuasive  manner,  sin- 
cerity, a  somewhat  liberal  education,  and  if  possible  a 
course  in  social  service. 


CHAPTER  lY 

THE  MANUFACTUEING  INDUSTRIES 

Statistics 

The  Purpose  of  this  Chapter.  The  foregoing  chapters 
have  presented  the  organization  and  employment  oppor- 
tunities of  the  business  side  of  industry,  with  shoe  man- 
ufacture as  a  conspicuous  example  of  modern  conditions 
and  methods.  Your  choice  of  business  employment 
among  the  many  lines  of  manufacture  will  be  easier  if 
you  have  accurate  information  about  the  various  indus- 
tries. It  is  the  purpose  of  the  present  chapter  to  give  you 
such  information,  especially  by  placing  before  you  the  re- 
liable facts  concerning  the  staple  industries  of  the  coun- 
try which  have  been  collected  in  the  national  census,  and 
by  adding  a  brief  explanation  of  their  use  and  meaning. 

The  Nature  of  Manufacture.  Manufacture  consists  in 
converting  raw  materials  into  articles  for  use.  It  is  car- 
ried on  chiefly  under  factory  organization,  and  to  some  ex- 
tent in  the  neighborhood  industries  and  by  handwork  in 
the  shop  and  home.  The  products  of  manufacture  include 
wearing  apparel,  food  stuffs,  furniture,  and  the  myriad 
articles  that  serve  the  economic  needs  of  modern  life. 

The  Thirteenth  Census.  The  latest  statistical  infor- 
mation available  for  the  industries  of  this  country  is  to 
be  found  in  the  Thirteenth  Census  for  the  calendar 
year  of  1909. 

91 


92  BUSINESS  EMPLOYMENTS 

Earlier  Censuses.  In  1810  the  Secretary  of  the  Treas- 
ury made  a  report  on  the  condition  of  manufactures  in 
the  United  States  and  estimated  that  the  value  of  prod- 
ucts for  1809  exceeded  $120,000,000.  An  estimate 
based  on  the  returns  of  the  census  of  1810  placed  the 
value  of  the  annual  product  at  $198,613,471.  The 
census  of  1850  was  the  first  to  present  fairly  complete 
statistics  for  manufactures.  Each  census  from  that  time 
to  1890  was  based  in  part  on  returns  for  the  preceding 
calendar  year  and  in  part  on  returns  for  other  twelve- 
month periods,  mainly  ending  during  the  census  year 
itself.  The  last  three  censuses  cover  principally  returns 
for  the  preceding  calendar  year  or  for  twelve-month 
periods  ending  within  that  year. 

The  Figures  for  1909.  In  1909  the  continental  United 
States  had  268,491  manufacturing  establishments,  which 
gave  employment  during  the  year  to  an  average  of 
7,678,578  persons,  of  whom  6,615,046  were  wage  earners. 
These  manufacturing  establishments  paid  $4,365,613,000 
in  salaries  and  wages,  and  turned  out  products  to  the 
value  of  $20,672,052,000,  to  produce  which  materials 
costing  $12,142,791,000  were  consumed.  The  value 
added  by  manufacture,  namely,  the  difference  between 
the  cost  of  materials  and  the  total  value  of  products, 
was  $8,529,261,000. 

The  Increase  from  1899  to  1909.  From  189^  to  1909 
the  number  of  establishments  increased  29.4  per  cent; 
the  capital  employed,  105.3  per  cent;  the  average  num- 
ber of  wage  earners,  40.4  per  cent ;  the  number  of 
salaried  employees,  117  per  cent ;  the  value  of  raw 
materials  used,  84.7  per  cent;   the  value  of  products, 


THE  MANUFACTURING  INDUSTRIES         93 

81.2  per  cent ;  and  the  value  added  by  manufacture, 
76.6  per  cent.  The  largest  increase  in  the  decade  is 
seen  to  be  in  the  number  of  salaried  employees,  increas- 
ing more  than  twice  as  rapidly  as  the  number  of  wage 
earners,  or  people  employed  in  the  processes  of  industry. 
The  salaried  employees  are  those  connected  with  the 
business  side  of  the  industry,  and  the  great  increase  is 
due  to  the  rapidly  advancing  development  of  organiza- 
tion on  the  business  side  of  manufacture  in  these  later 
years.  It  means  an  increasing  number  of  persons  em- 
ployed in  business  positions,  increasing  opportunity  and 
responsibility,  enlarged  earnings,  and  a  remarkable  de- 
velopment in  manufacture  and  its  attendant  business. 
Indeed,  much  of  the  growth  in  modern  industry  is 
directly  accounted  for  by  improved  methods  of  con- 
ducting business.  The  clerk  in  the  o£&ce  may  still  earn 
less  than  many  an  expert  workman  in  the  factory,  but, 
on  the  whole,  the  average  employee  on  the  business 
side  of  industry  earns  a  larger  amount  than  does  the 
operative  in  industry  itself,  as  the  following  statement 
indicates. 

Comparison  of  Earnings  on  the  Business  Side  and  on 
the  Manufacturing  Side.  Aside  from  the  profits  going  to 
the  proprietors  and  firm  members,  the  average  earnings 
of  the  salaried  employees  in  industry  in  the  continental 
United  States  during  the  year  1909  were  |1187.67,  or 
122.84  a  week;  while  the  average  earnings  of  factory 
operatives,  or  wage  earners,  for  the  same  period,  were 
$518.07,  or  |9.96  a  week.  And  there  is,  no  doubt,  as 
large  a  proportion  of  persons  holding  positions  of  special 
trust  and  importance,  with  correspondent  earnings,  in 


94  BUSINESS  EMPLOYMENTS 

the  business  offices  as  there  is  of  workmen  of  special 
skill  and  earning  power  in  the  factory. 

The  Probable  Increase  since  1909.  The  percentages  of 
increase  in  number  of  establishments,  persons  employed, 
capital  invested,  and  other  features  of  manufacture  were 
much  larger  in  the  five  years  from  1904  to  1909  than  in 
the  preceding  five  years.  If  the  later  rates  of  increase 
have  continued  from  1909  to  1914,  while,  no  doubt,  the 
percentages  have  still  further  increased,  at  the  present 
time  we  should  have  approximately  the  following  fig- 
ures for  manufacture  in  this  country :  number  of 
establishments,  340,000 ;  persons  engaged  in  manufac- 
ture, 9,700,000,  or  quite  possibly  10,000,000;  capital 
employed,  ^30,000,000,000;  money  expended,  |26,- 
000,000,000 ;  the  value  of  products,  $29,000,000,000 ; 
and  the  net  wealth  created  by  manufacturing  opera- 
tions, $12,000,000,000.  Tlie  foregoing  are  very  con- 
servative estimates.  Without  doubt  the  expansion  of 
manufacture  within  the  last  five  years  is  much  larger 
than  that  of  any  preceding  period  of  equal  length. 

Explanation  of  Census  Statistics.  The  best  explana- 
tion of  the  purpose  and  scope  of  the  statistical  material 
presented  by  the  census  is  to  be  found  in  the  following 
quotation  from  Chapter  XV  of  the  Abstract  of  the 
Thirteenth  Census: 

Scope  of  census  :  Factory  industries.  Census  statistics  of  manu- 
factures are  compiled  primarily  for  the  purpose  of  showing  the 
absolute  and  relative  magnitude  of  the  different  branches  of 
industry  covered  and  their  growth  or  decline.  Incidentally,  the 
effort  is  made  to  present  data  throwing  light  upon  character  of 
organization,  location  of  establishments,  size  of  establishments, 
labor  force,  and  similar  subjects.   When  use  is  made  of  the  data 


THE  MANUFACTURING  INDUSTRIES         95 

for  these  purposes  it  is  imperative  that  due  attention  should  be 
given  to  the  limitations  of  the  figures.  Particularly  is  this  true 
when  the  attempt  is  made  to  derive  from  them  figures  purporting 
to  show  average  wages,  cost  of  production,  or  profits. 

The  census  of  1909,  like  that  of  1904,  was  confined  to  manu- 
facturing establishments  conducted  under  the  factory  system,  as 
distinguished  from  the  neighborhood,  hand,  and  building  indus- 
tries. Where  statistics  for  1899  are  given  they  have  been  reduced 
to  a  comparable  basis  by  eliminating,  as  far  as  possible,  the  latter 
classes  of  industries.  The  census  does  not  include  establishments 
which  were  idle  during  the  entire  year,  or  had  a  value  of  prod- 
ucts of  less  than  |500,  or  the  manufacturing  done  in  educational, 
eleemosynary,  and  penal  institutions,  or  in  governmental  estab- 
lishments, except  those  of  the  Federal  Government. 

Period  covered.  The  returns  cover  the  calendar  year  1909,  or 
the  business  year  which  corresponds  most  nearly  to  that  calendar 
year.  The  statistics  cover  a  year's  operations,  except  for  estab- 
lishments which  began  or  discontinued  business  during  the  year. 

The  establishment.  As  a  rule,  the  term  '*  establishment "  rep- 
resents a  separated  plant  or  mill.  In  some  cases  it  represents  two 
or  more  plants  operated  under  a  common  ownership  or  for  which 
one  set  of  books  of  account  is  kept. 

If  the  plants  constituting  an  establishment  as  thus  defined 
were  not  all  located  within  the  same  city  or  state,  separate 
reports  were  secured  in  order  that  the  separate  totals  might  be 
included  in  the  statistics'  for  each  city,  or  state.  In  some  in- 
stances separate  reports  were  secured  for  different  industries 
carried  on  in  the  same  establishment. 

Classification  by  industries.  The  establishments  were  assigned 
to  the  several  classes  of  industries  according  to  their  products  of 
chief  value.  The  value  of  products  reported  for  a  given  industry 
may  thus,  on  the  one  hand,  include  minor  products  very  different 
from  those  covered  by  the  class  designation,  and,  on  the  other 
hand,  may  not  include  the  total  product  covered  by  this  designa- 
tion, because  some  part  of  this  product  may  be  made  in  estab- 
lishments in  which  it  is  not  the  product  of  chief  value. 

The  number  of  industries  for  which  a  separate  presentation  is 
made  is  264,  a  much  smaller  number  than  in  the  reports  for  the 


96  BUSINESS  EMPLOYMENTS 

census  of  1904,  in  which  339  industries  were  shown  separately. 
This  decrease  is  due  to  the  fact  that  an  attempt  to  make  a 
separate  presentation  would  in  the  case  of  many  industries  be 
misleading,  inasmuch  as  a  large  part  of  the  product  of  the  class 
described  by  the  industry  designation  is  made,  not  by  establish- 
ments engaged  primarily  in  manufacturing  that  class  of  com- 
modities, but  by  establishments  whose  principal  product  is  such 
as  to  necessitate  their  classification  elsewhere.  In  order  to  avoid 
this  diflficulty  it  is  necessary  in  many  cases  to  combine  a  number 
of  closely  related  industries  under  a  more  general  designation. 
This  condition  is  constantly  becoming  more  conspicuous  in  the 
manufacturing  business  of  the  country,  and  consequently  the 
number  of  industries  which  can  properly  be  shown  separately 
is  smaller  at  this  census  than  at  previous  censuses. 

The  following  tables  of  statistics  are  from  Chapter 
XV,  which  treats  of  manufactures,  of  the  Abstract  of 
the  Thirteenth  Census.  While  the  tables  are  largely- 
self-explanatory,  a  brief  description  is  added  in  some 
cases.  The  first  table,  for  instance,  treats  only  the 
larger  industries,  or  forty-three  leading  lines  of  manu- 
facture out  of  the  two  hundred  and  sixty-four  included 
in  the  census. 

Industrial  Statistics  and  Business  Opportunities.  By 
the  figures  presented  in  the  census,  or  by  the  nature 
and  magnitude  of  an  industry,  its  growth  or  decrease 
during  census  periods,  its  locality,  the  number  of  per- 
sons employed  in  it,  and  other  facts  shown,  one  may 
judge  quite  accurately  of  the  opportunities  that  industry 
offers  upon  its  business  side. 


THE  MANUFACTURTKG  INDUSTRIES 


97 


VALUE  OF  PRODUCTS,  BY  INDUSTRIES :  1909  AND  1899 


0  250 

Meat  Packing 

Foundry  and  Machine  Shops 

Lumber 

Steel  Rolling  Mills 

Flour  Mills 

Printing  and  Publishing 

Cotton  Goods 

Clothing,  Men's 

Boots  and  Shoes 

"Woolen  Goods 

Tobacco 

Railroad  Shops 

Bakeries 

Blast  Furnaces 

Clothing,  Women's 

Copper  Smelting 

Liquors,  Malt 

Leather 

Sugar  and  Molasses 

Butter  and  Cheese 

Paper  and  Pulp 

Automobiles 

Furniture 

Petroleum,  Refining 

Electrical  Apparatus 

Liquors,  Distilled 

Knit  Goods 

Copper,  Tin,  and  Sheet  Iron 

Silk  Goods 

Lead  Smelting  and  Refining 

Gas,  Illuminating  and  Keating  )mmJ^ 

Carriages  and  Wagons 

Canning  and  Preserving 

Brass  and  Bronze 

Oil,  Cottonseed,  and  Cake 

Agricultural  Implements 

Patent  Medicines 

Confectionery 

Paint  and  Varnish 

Cars,  Steam-Railroad 

Chemicals 

Marble  and  Stone 

Leather  Goods 


Millions  of  Dollars 
500  750  1000 


1250 


98 


BUSINESS  EMPLOYMENTS 


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THE  MANUFACTURING  INDUSTRIES 


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BUSINESS  EMPLOYMENTS 


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THE  MANUFACTURING  INDTJSTE-ieS  ;,  i  iiaV- 

ACCOMPANYING  STATEMENT         « 

By  far  the  highest  percentages  of  increase  are  shown  for  the 
automobile  industry,  the  gross  value  of  products  of  which  in- 
creased more  than  sevenfold  during  the  five  years  1904  to  1909, 
and  more  than  fiftyfold  during  the  decade  as  a  whole.  Other 
industries  which  show  exceptionally  large  increases  for  both 
five-year  periods  in  all  three  items  are  the  making  of  men's 
and  of  women's  clothing,  the  bakery  and  the  butter,  cheese,  and 
condensed-milk  industries,  the  manufacture  of  electrical  machin- 
ery, apparatus,  and  supplies,  and  of  copper,  tin,  and  sheet^iron 
products,  the  distillery  industry,  the  manufacture  of  hosiery 
and  knit  goods  and  of  silk  and  silk  goods,  the  illuminating-gas 
industry,  the  manufacture  of  brass  and  bronze  products,  and 
the  confectionery,  paint  and  varnish,  and  marble  and  stone  work 
industries.  It  is  interesting  to  note  that  the  group  of  "  all  other 
industries,"  which  includes  the  less  important  industries  of  the 
country,  shows  greater  percentages  of  increase  than  all  industries 
combined,  thus  indicating  possibly  an  increased  tendency  toward 
diversification  in  manufacturing  industries. 

The  percentage  of  increase  in  all  three  of  the  items  —  number 
of  wage  earners,  gross  value  of  products,  and  value  added  by 
manufacture  —  was  greater  during  the  second  five-year  period 
(1904  to  1909)  than  during  the  first  (1899  to  1904)  in  the 
slaughtering  and  meat-packing  and  foundry  and  machine-shop 
industries,  the  manufacture  of  cotton  goods,  the  men's  clothing, 
boot  and  shoe,  and  woolen-goods  industries,  the  smelting  and  re- 
fining of  copper,  the  manufacture  of  automobiles,  silk  and  silk 
goods,  brass  and  bronze  products,  agricultural  implements,  and 
paint  and  varnish,  the  steel  works  and  rolling  mills,  and  the 
chemical  industry.  On  the  other  hand,  the  percentage  of  in- 
crease in  all  three  items  was  less-  during  the  later  five-year  period 
than  during  the  earlier  in  the  flour-mill  and  gristmill,  railroad 
repair  shop,  bakery,  women's  clothing,  paper  and  wood  pulp, 
petroleum  refining,  furniture,  illuminating  gas,  carriage  and 
wagon,  and  leather-goods  industries. 


i^2f 


BU{$I]?^ESS  EMPLOYMENTS 


f    »j        «*       K  p  '         ' ' 
I L i     J 


/ 


THE  MANUFACTUEING  INDUSTRIES      103 


PER  CENT  DISTRIBUTION  OF  AVERAGE  NUMBER  OF 
WAGE  EARNERS,  BY  INDUSTRIES:   1909 


Per  Cent 
4        5       6 


Lumber 

Foundry  and  Machine  Shops 

Cotton  Goods 

Railroad  Shops 

Printing  and  Publishing 

Steel  Rolling  Mills 

Clothing,  Men's 

Boots  and  Shoes 

Woolen  Goods 

Tobacco 

Clothing,  Women's 

Knit  Goods 

Furniture 

Bakeries 

Silk  Goods 

Meat  Packing 

Electrical  Apparatus 

Paper  and  Pulp 

Automobiles 

Copper,  Tin,  and  Sheet  Iron 

Carriages  and  Wagons 

Marble  and  Stone 

Leather 

Canning  and  Preserving 

Liquors,  Malt 

Agricultural  Implements 

Confectionery 

Cars,  Steam-Railroad 

Brass  and  Bronze 


In  Tables  IV  and  V,  which  follow,  the  arrangement  is 
according  to  the  value  of  the  products  of  the  manu- 
facture, which  quite  nearly  coincides  with  the  number 
of  wage  earners. 


104 


BUSINESS  EMPLOYMENTS 


TABLE   IV.    LIST  OF  THE   STATES  ACCORDING  TO  NUM- 
BERS OF  WAGE  EARNERS  IN  MANUFACTURE  :  1909 


Table  5 


State 


Population 


Number 
OF  Estab 

LISHMENTSl 


Wage  Earners 


Average 
number 


United  States  . 
NeAV  York  .... 
Pennsylvania      .     . 

Illinois 

Massachusetts    .    . 

Ohio 

New  Jersey  .  .  . 
Michigan  .... 
Wisconsin   .... 

Indiana 

Missouri      .... 

California  .... 
Connecticut  .  .  . 
Minnesota  .... 

Kansas 

Maryland  .... 
Rhode  Island  .    .    . 

Texas      

Iowa 

Louisiana  .... 
Kentucky  .... 
Washington  .  .  . 
Virginia  .... 
North  Carolina  .     . 

Georgia 

Nebraska  .... 
Tennessee  .... 

Maine 

New  Hampshire 
West  Virgmia     .    . 
Alabama     ...     . 
Colorado      .... 
South  Carolina    .     . 

Oregon    

Mississippi  .  .  . 
Arkansas  .... 
Montana     .... 

Florida 

"Vermont     .... 

Utah 

Oklahoma  .... 
Delaware    .... 

Arizona 

District  of  Columbia 

Idaho 

North  Dakota  .  . 
South  Dakota     .    . 

Nevada 

New  Mexico  .  .  . 
Wyoming    .... 


91,972,266 

9,113,614 

7,665,111 

5,638,591 

3,366,416 

4,767,121 

2,537,167 

2,810,173 

2,333,860 

2,700,876 

3,293,335 

2,377,549 

1,114,756 

2,075,708 

1,690,949 

1,295,346 

542,610 

3,896,542 

2,224,771 

1,656,388 

2,289,905 

1,141,990 

2,061,612 

2,206,287 

2,609,121 

1,192,214 

2,184,789 

742,371 

430,572 

1,221,119 

2,138,093 

799,024 

1,515,400 

672,765 

1,797,114 

1,574,449 

376,053 

752,619 

355,956 

373,351 

1,657,155 

202,322 

204,354 

331,069 

325,594 

577,056 

583,888 

81,875 

327,301 

145,965 


268,491 

44,935 

27,563 

18,026 

11,684 

15,138 

8,817 

9,159 

9,721 

7,969 

8,375 

7,659 

4,251 

5,561 

3,435 

4,837 

1,951 

4,588 

5,528 

2,516 

4,776 

3,674 

5,685 

4,931 

4,792 

2,500 

4,609 

3,546 

1,961 

2,586 

3,398 

2,034 

1,854 

2,246 

2,598 

2,925 

677 

2,159 

1,958 

749 

2,310 

726 

311 

518 

725 

752 

1,020 

177 

313 


6,615,046 

1,003,981 

877,543 

465,764 

584,559 

446,934 

326,223 

231,499 

182,583 

186,984 

152,993 

115,296 

210,792 

84,767 

44,215 

107,921 

113,538 

70,230 

61,635 

76,165 

65,400 

69,120 

105,676 

121,473 

104,588 

24,336 

73,840 

79,955 

78,658 

63,893 

72,148 

28,067 

73,016 

28,750 

50,384 

44,982 

11,655 

57,473 

33,788 

11,785 

13,143 

21,238 

6,441 

7,707 

8,220 

2,789 

3,602 

2,257 

4,143 

2,867 


THE  MANUFACTUEING  INDUSTRIES       105 

TABLE    V.     LIST    OF    LEADING    CITIES    IN    THE    UNITED 

STATES  ACCOKDING   TO   NUMBERS   OF   WAGE   EARNERS 

IN  MANUFACTURE  :    1909 


Table  7 


City 


Population 


Number 

OF  ESTAB 
LISHMENTS 


Wage  Earners 


Average 
number 


New  York,  N.Y.  . 
Chicago,  111.  .  .  . 
Philadelphia,  Pa.  . 
St.  Louis,  Mo.  .  . 
Cleveland,  Ohio  ,  . 
Detroit,  Mich.  .  . 
Pittsburgh,  Pa.  .  . 
Boston,  Mass.  .  . 
Buffalo,  N.Y.  .  . 
Milwaukee,  Wis.  . 
Newark,  N.J.  .  . 
Cincinnati,  Ohio 
Baltimore,  Md.  .  . 
Minneapolis,  Minn, 
Kansas  City,  Kan. 
San  Francisco,  Cal. 
Jersey  City,  N.J.  . 
Indianapolis,  Ind.  . 
Providence,  R.I. 
Rochester,  N.Y. 
Louisville,  Ky.  .  . 
South  Omaha,  Neb. 
Youngstown,  Ohio 
Lawrence,  Mass.  . 
New  Orleans,  La.  . 
Worcester,  Mass.  . 
Bayonne,  N.J.  .  . 
Akron,  Ohio  .  .  . 
Perth  Amboy,  N.J. 
Lynn,  Mass.  .  .  . 
Paterson,  N.J.  .  , 
Los  Angeles,  Cal.  . 
Bridgeport,  Conn.  . 
Fall  River,  Mass. '   . 

Peoria,  111 

Toledo,  Ohio  .  .  . 
Omaha,  Neb.  .  .  . 
Dayton,  Ohio  .  .  . 
Lowell,  Mass.  .  . 
Yonkers,  N.Y.  .  . 
St.  Paul,  Minn.  .  . 
Kansas  City,  Mo.  . 
NeAv  Bedford,  Mass. 
Denver,  Col.  .  .  . 
Reading,  Pa.  .  .  . 
New  Haven,  Conn. 
Seattle,  Wash.  .  . 
Waterbury,  Conn.  . 
Syracuse, 'N.Y.  .  . 
Camden,  N.J.      .     . 


4,766,883 

2,185,283 

1,549,008 

687.029 

560,663 

465,766 

533,905 

670,585 

423,715 

373,857 

347,469 

363,591 

558,485 

301,408 

82,331 

416,912 

267,779 

233,650 

224,326 

218,149 

223,928 

26,259 

79,066 

85,892 

339,075 

145,986 

55,545 

69,067 

32,121 

89,336 

125,600 

319,198 

102,054 

119,295 

66,950 

168,497 

124,096 

116,577 

106,294 

79,803 

214,744 

248,381 

96,652 

213,381 

96,071 

133,605 

237,194 

73,141 

137,249 

94,538 


25,938 

9,656 

8,379 

2,667 

2,148 

2,036 

1,659 

3,155 

1,753 

l,7ft4 

1,858 

2,184 

2,502 

1,102 

165 

1,796 

745 

855 

1,080 

1,203 

903 

71 

115 

162 

848 

580 

97 

246 

80 

431 

702 

1,325 

367 

288 

283 

760 

432 

513 

320 

158 

719 

902 

207 

766 

482 

590 

751 

169 

738 

365 


554,002 
293,977 
251,884 
87,371 
84,728 
81,011 
67,474 
69,637 
51,412 
59,502 
59,955 
60,192 
71,444 
26,962 
12,294 
28,244 
25,454 
31,815 
46,381 
39,108 
27,023 
6,306 
10,498 
30,542 
17,186 
28,221 
7,519 
15,831 
5,866 
27,368 
32,004 
17,327 
25,775 
37,139 
5,981 
18,878 
8,023 
21,549 
32,575 
12,711 
19,339 
14,643 
26,566 
12,058 
24,145 
23,547 
11,331 
20,170 
18,148 
16,527 


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THE  MANUFACTUEING  INDUSTKIES       lOT 

Table  YI  indicates  the  extent  to  which  the  manufac- 
turing enterprises  of  the  country  are  located  in  the 
larger  cities  as  compared  with  the  smaller  cities  and 
rural  districts. 


TABLE  VII.   SUMMARY  OF  PERSONS  ENGAGED  IN  MANU- 
FACTURE IN  THE  UNITED  STATES:   1909 


Table  9 

Class 

Persons  Engaged  in 
Manufactures 

Total 

Male 

Female 

All  classes 

7,678,578 

6,162,263 

1,516,315 

Proprietors  and  officials 

487,173 

472,914 

14,259 

Proprietors  and  firm  members   . 
Salaried  officers  of  corporations 
Superintendents  and  managers  . 

Clerks 

273,265 

80,735 

133,173 

576,359 

6,615,046 

263,673 

78,937 

130,304 

437,056 

5,252,293 

9,592 
1,798 
2,869 

139,303 

1,362,753 

Wage  earners  (average  number)  .    . 

16  years  of  age  and  over     .    .    . 
Under  16  years  of  age     .... 

6,453,553 
161,493 

5,163,164 
89,129 

1,290,389 
72,364 

Table  VII  shows  the  distribution  of  persons  engaged 
in  manufacture  by  class,  sex,  and  age.  The  average 
number  of  such  persons  during  1909  was  7,678,578.  Of 
these,  6,615,046,  or  86.1  per  cent,  were  wage  earners ; 
487,173,  or  6.3  per  cent,  proprietors  and  officials;  and 
576,359,  or  7.5  per  cent,  clerks. 


108 


BUSINESS  EMPLOYMENTS 


TABLE  VIII.    COMPARISON  OF  OCCUPATIONAL  STATUS 
OF   1904  AND  1909 


Table  11 

Peusoxs  Engaged  in  TManufaotitres 

1909 

1904 

Per 

Class 

Number 

Per 
cent 
distri- 
bution 

Number 

Per 
cent 
distri- 
bution 

of  in- 
crease, 
1904- 
1909 

Total 

Proprietors  and  firm  mem- 
bers  

Salaried  employees  .    .    . 

Wage  earners  (average 
number) 

7,678,578 

273,265 
790,267 

6,615,046 

100.0 

3.6 
10.3 

86.1 

6,213,612 

225,673 
519,556 

5,468,383 

100.0 

3.6 

8.4 

88.0 

23.6 

21.1 
52.1 

21.0 

A  greater  percentage  of  increase  is  shown  for  salaried  em- 
ployees than  for  the  other  two  classes.  This  is  due  in  part  to  the 
changes  from  individual  and  firm  ownership  to  corporate  organi- 
zation, a  change  which  frequently  involves  the  transfer  of  pro- 
prietors and  firm  members  to  the  class  of  officials.  At  the  same 
time  there  is  no  doubt  that  the  number  of  clerks  here  classified 
with  the  other  salaried  employees  has  increased  relatively  faster 
than  the  number  of  wage  earners. 

Sex  and  Age  Distribution  by  Industries.  The  census 
statistics  show  the  distribution  of  wage  earners  by  sex 
and  age  in  the  industries  of  the  country.  By  the  Census 
of  1909,  in  all  industries  combined,  78  per  cent  of  the 
average  number  of  wage  earners  were  male,  16  years  of 
age  or  over;  19.5  per  cent,  female,  16  years  of  age  or 
over;  and  2.5  per  cent,  children  under  the  age  of  16. 
The  industries  employing  the  largest  number  of  males 
over  16  years  of  age  are  those  in  which  the  work  re- 
quires great  physical  strength,  or  a  high  degree  of  skill. 


THE  MANUFACTURING  INDUSTRIES       109 

Thus,  in  the  smelting  and  refining  of  copper  and  lead, 
males  16  years  of  age  and  over  constitute  99.9  per  cent. 
Other  such  industries  are  the  making  of  gas,  the  con- 
struction of  steam-railroad  cars  and  repair  shops,  steel 
works  and  rolling  mills,  and  marble  and  stone  work." 

The  proportion  of  women  and  children  is  larger  in 
industries  requiring  dexterity  rather  than  strength,  such 
as  the  manufacture  of  clothing,  of  hosiery  and  knit  goods, 
of  confectionery,  patent  medicines,  druggists'  prepara- 
tions, and  silk  goods.  In  these  industries  more  than  half 
of  the  wage  earners  are  female,  16  years  or  over. 

The  proportion  of  children  as  wage  earners  is  largest 
in  the  three  textile  industries,  —  cotton  goods,  silk  and 
silk  goods,  and  hosiery  and  knit  goods.  The  proportion 
is  high  also  in  the  canning  and  preserving,  confectionery, 
and  woolen-goods  industries. 

The  Percentage  of  Persons  on  the  Business  Side  of 
Manufacture.  The  average  per  cent  of  persons  engaged 
on  the  business  side  of  the  manufacturing  industries,  as 
shown  in  Table  VIII,  is  13.9.  It  varies  from  2.3  in  the 
cotton-goods  industry  to  30.6  in  bread  manufacture,  40.3 
in  flour  milling,  and  41.5  per  cent  in  dairying.  In  the 
well-organized  industries  which  call  for  considerable  busi- 
ness detail  the  average  is  between  15  and  20  per  cent. 


PART  TWO 

MODERN  RETAIL  TRADE  AS  ILLUSTRATED 
BY  THE  DEPARTMENT  STORE 


PART  TWO 
CHAPTER  V 

THE  DEPARTMENT  STOEE 

Its  Nature.  The  department  store  is  an  outgrowth  of 
modern  retailing.  It  is  a  combination  of  what  may  be 
regarded  as  a  number  of  distinct  stores  in  a  single 
building,  or  group  of  buildings,  under  one  management 
and  usually  under  one  ownership.  While  the  depart- 
ment store  is  sometimes  considered  an  enlargement  of 
the  idea  expressed  in  the  country  store  selling  general 
merchandise,  it  has  in  most  cases  developed  from  the 
dry  goods  or  specialty  store,  by  separating  merchandise 
in  the  large  establishment  into  various  departments,  and 
specializing  each  as  if  it  were  a  business  by  itself. 

The  volume  of  business  in  each  division  permits  the 
securing  of  expert  management  and  service,  and  ac- 
counts in  large  degree  for  the  success  of  the  depart- 
ment store,  which  has  become  a  practical  necessity  in 
the  large  community.  It  reaches  out  also  into  the 
world's  markets,  and  gathers  for  its  trade  the  world's 
products  of  skill  and  industry.  Many  large  department 
stores  have  offices,  with  agents  or  representatives,  style 
experts,  and  buyers,  in  Paris,  London,  and  other  cities 
of  the  Old  World.    Stores,  also,  which  do  not  maintain 

113 


114  BUSINESS  EMPLOYMENTS 

such  offices  generally  send  departmental  buyers  abroad 
several  times  a  year. 

The  modern  department  store  is  not  merely  an 
improved  means  of  distributing  merchandise  that  has 
resulted  from  the  growth  of  large  cities,  but  also  an 
embodiment  of  the  enlarging  conception  of  the  function 
of  the  merchant,  which  includes  large  service  to  the 
community  as  well  as  selling  goods.  The  best  type  of 
department  store  has  come  to  be  not  only  a  great 
warehouse  for  the  buying  and  selling  of  all  kinds  of 
merchandise,  but  also,  increasingly,  a  quasi-public  insti- 
tution with  various  features  of  service,  such  as  en- 
tertainment, education,  and  commercial  and  vocational 
training  for  the  hundi-eds  and  even  thousands  for  whom 
it  provides  employment. 

From  the  Public  Point  of  View.  From  the  public 
point  of  view  the  department  store  is  usually  regarded 
simply  as  a  distributor  of  merchandise.  In  this  respect 
it  reflects  the  times  in  the  magnitude  of  its  operations. 
By  reason  of  its  large  capital  it  is  enabled  to  buy 
cheaply  or  to  give  advance  orders  at  times  favorable 
for  production,  thereby  obtaining  great  quantities  of 
goods  at  the  lowest  market  prices.  It  saves,  also,  by 
direct  buying  and  eliminating  the  jobber's  profits.  By 
grouping  many  departments  under  one  roof  it  is  ena- 
bled to  reduce  general  operating  expenses.  Likewise 
the  entire  skill  and  experience  of  the  merchant  and  his 
trained  specialists  are  available  to  all  these  depart- 
ments, so  that  they  receive  a  higher  degree  of  train- 
ing and  management  in  special  lines  than  is  usually 
possible  in  small  stores.     In  the  matter  of  rent,  also, 


THE  DEPARTMENT  STOEE  115 

considering  the  various  departments  as  individual  stores, 
which  is  a  common  method  of  operating  large  depart- 
ments, if  each  of  these  small  stores  were  to  have  a 
separate  building,  the  total  rent  would  greatly  exceed 
the  actual  rent  incurred  by  grouping  them  under  one 
roof.  The  large  stores,  moreover,  by  reason  of  their 
large  capital,  are  usually  able  to  obtain  the  choice  loca- 
tions in  a  city,  where  the  greatest  number  of  people 
pass,  thus  securing  an  extensive  volume  of  business. 
And  a  long  lease  or  ownership  of  desirable  corners  or 
locations  in  a  large  city  gives  weight  to  the  idea  of 
the  department  store  as  a  quasi-public  institution,  and 
gives  its  holdings  almost  the  nature  of  a  franchise. 

Out  of  this  idea  of  grouping  departments  under  one 
roof  have  resulted  many  business  improvements  of 
advantage  to  the  general  pubUc. 

Through  a  combination  of  modern  merchandising 
and  advertising,  in  large  measure,  has  come  a  remark- 
able growth  of  department  stores  in  the  United  States. 
Within  a  single  generation  there  have  been  developed 
great  establishments  doing  business  ranging  from  a  few 
millions  to  twenty-five  or  thirty  million  dollars  annually. 

Harlow  N.  Higginbotham  in  The  Making  of  a  Mer- 
chant says: 

Few  modern  marvels  surpass  in  interest  the  great  department 
store.  Certainly  this  is  so  for  the  man  of  commercial  tastes  and 
pursuits,  and  I  cannot  doubt  that,  in  possibly  a  lesser  degree,  it 
is  so  for  the  great  mass  of  the  American  people.  Perhaps  there 
are  other  developments  of  twentieth-century  progress  better 
adapted  to  stand  as  types  of  the  age;  but  it  must  be  granted 
that  the  department  store  is  distinctly  a  latter-day  institution 
which  is  clearly  representative  of  conspicuous  elements  and 
tendencies  in  the  life  of  the  present  hour. 


116  BUSINESS  EMPLOYMENTS 

The  Rise  of  the  Department  Store.  The  general  store, 
selling  all  kinds  of  merchandise,  has  long  existed  in 
this  country,  especially  in  small  or  rural  communities. 
In  our  cities,  however,  until  within  a  generation,  most 
stores  were  specialty  houses,  selling  single  Imes,  such  as 
hardware,  groceries,  or  dry  goods;  and  generally  they 
were  found  grouped  in  districts,  forming  the  market 
district,  dry-goods  district,  the  wholesale  district,  and 
others.  As  American  cities  increased  in  population,  it 
became  more  and  more  inconvenient  for  buyers  or  shop- 
pers to  go  from  store  to  store,  or  from  one  district  to 
another,  and  more  profitable  to  the  merchant  to  cany- 
many  lines  of  goods. 

Here  lay  both  the  need  and  the  opportunity  for  the 
modern  department  store.  The  city  specialty  store  pro- 
vided or  attracted  experience,  enterprise,  and  capital. 
The  progressive  city  retailer  added  one  line  of  stock 
after  another,  eliminated  the  jobber,  and  handled  large 
quantities  of  goods  at  lower  prices  than  his  small, 
specializing  competitor.  A  strong  factor  from  the  begin- 
ning was  the  principle  of  buying  and  selling  for  cash. 
An  important  step,  also,  was  the  introduction  of  "  odd- 
cent"  prices,  when  "even-money"  prices  had  been  uni- 
versal in  the  country.  Close  selling  and  close  buying 
naturally  went  together.  Free  delivery  of  goods  was 
greatly  advanced  by  this  new  form  of  commercial  enter- 
prise. Increased  liberality  in  the  exchange  of  goods 
resulted.  Finally,  the  department  store  has  been  aggres- 
sive and  always  ready  for  a  radical  departure  from  old 
methods  for  the  sake  of  profit  or  reputation,  and  the 
mammoth  stores  of  the  present  day  have  resulted. 


THE  DEPAETMENT  STORE  117 

Competition.  Because  of  the  large  capital  involved, 
heavy  running  expenses,  and  the  scarcity  of  good  avail- 
able locations  in  a  city,  and  because-  of  the  natural 
limit  to  the  possible  amount  of  business  in  a  territory, 
department  stores  will  be  limited  in  number  in  any  one 
community,  and  competition  on  a  large  scale  corre- 
spondingly restricted.  There  will  always  be  competition 
between  a  department  of  one  and  the  corresponding 
department  of  another,  especially  in  merchandise  of  the 
lower  grades.  In  addition  to  this  general  trade  rivalry 
there  is,  also,  constant  and  strong  competition  from 
specialty  stores,  chain  systems  of  stores,  and  mail-order 
houses.  Within  the  great  store  itself,  there  is  always  an 
effort  among  departments  to  see  which  shall  produce 
the  greatest  amount  of  profit  due  to  enlarged  volume 
of  business. 

Future.  The  growth  of  cities  in  the  last  twenty-five 
years  is  one  of  the  most  significant  developments  of 
our  times.  The  increase  in  city  and  suburban  popula- 
tion, with  modern  transportation  facilities,  has  furnished 
the  condition  which  makes  possible  and  necessary  the 
department  store.  One  important  condition  is  found 
in  the  fact  that  the  pressure  of  population  has  raised 
the  price  of  land,  and  rental  is  reduced  by  assembling 
stores  or  shops  m  a  single  establishment. 

Along  with  the  increase  of  urban  and  suburban  pop- 
ulation will  continue  a  growth  in  the  volume  of  retail 
trade  which  will  in  larger  and  larger  degree  take  the 
form  of  the  regular  department  stores,  specialized  stores 
(which  are  department  stores  with  selected  lines  of 
merchandise),  and  chain  systems  of  stores  (which,  under 


118  BUSINESS  EMPLOYMENTS 

one  firm  name,  ownership,  and  management,  carry  on 
business  in  various  communities).  It  is  possible,  also,  that 
the  European  idea  of  cooperative  manufacture,  distribu- 
tion, and  buymg  on  the  part  of  the  public  in  the  form 
of  cooperative  retail  ■  stores  will  be  adopted  in  some 
degree  in  this  country.  The  idea  of  the  public  cooper- 
ating and  owning  its  retail  stores  is  spreading  in  the 
West,  Northwest,  and  along  the  Canadian  frontier,  and 
is  hastened  in  its  development  by  the  immigration  of 
people  from  European  countries. 

The  modern  American  department  store  has  become 
an  established  institution  whose  future  is  limited  only 
by  the  growth  of  population  and  material  resources,  by 
the  supply  of  men  competent  to  develop  with  its  devel- 
opment, and  by  changing  conditions  and  business 
enterprise. 

Method  of  Treatment.  In  this  study  of  the  depart- 
ment store,  positions  of  all  grades  in  which  boys  and 
men  are  employed  are  enumerated.  The  major  divisions 
are  not  necessarily  treated  in  a  uniform  manner;  each 
one  is  considered  in  the  way  in  which  it  presents 
itself  to  the  investigator,  and  according  to  its  natural 
features  or  relations  to  the  entire  system.  In  each 
case  an  attempt  is  made  to  show  the  exact  nature 
of  a  division  or  subdivision,  the  duties  and  pay  of 
positions,  and  the  lines  of  progress  and  relation  in  a 
department,  or  between  departments,  with  such  other 
features  and  information  as  may  be  necessary  to  present 
a  comprehensive,  accurate,  and  impartial  study  of  the 
department  store,  from  the  standpoint  of  the  boy  or 
young  man. 


THE  DEPAETMENT  STOKE 


119 


An  attempt  is  made  to  show  organization  and  store 
system  clearly,  because  young  men  should  in  the  main 
look  forward  to  filling  the  higher  places,  on  account  of 
the  constant  and  increasing  competition  of  female  help, 
especially  in  selling  and  the  minor  positions. 

Herewith  is  given  a  simple  chart  of  a  department- 
store  organization  which  follows  the  natural  lines  of  the 
business.  Individual  stores  will  have  organizations  which 


THE  GENERAL  MANAGER 


Four  Coordinate  Divisions 


I 

Merchandise 
Manager 

Buyers  and 
Assistant  Buyers 


I 

Store 
Manager 


Advertising 
Manager 


Domestic 


/\ 


Superin 
tending 
Floor 
Foreign        Managers 

_J 


Selling 


Stock  People 


Sales  People 

T 


Artists 


Office 
Manager 


Heads  of 
Divisions 


Floor  Boys 


Window  Dressers 
Sign  Painters 


Office  Clerks 
Bookkeepers 
Office  Boys 


CHART  OF  DEPARTMENT-STORE  ORGANIZATION 


differ  according  to  their  magnitude,  ownership,  aj^  special 
conditions ;  but  most  will  correspond  closely  to  this  gen- 
eral plan,  which  is  followed  in  the  succe*&ding  chapters. 

Four  Major  Divisions.  At  the  Iiead  of  .the^organ- 
ization  or  administration  is  the  General  Manager,  wh5 
has  control  of  all  the  departments  and  activities  of 
the  business.  Under  his  control  are  four  coordinate, 
major  divisions, —  Merchandising,  Store  Managing,  Ad- 
vertising, and  Recording,  —  each  in  charge  of  a  manager 


120  BUSINESS  EMPLOYMENTS 

who  reports  to  the  general  manager*  The  division  of 
store  managing  subdivides  into  superintending  and  sell- 
ing, so  that  for  full  treatment  there  are  four  great 
departments  or  divisions,  in  this  order, —  merchandising 
or  buying,  superintending  and  selling,  advertising  or 
publicity,  and  the  recording  or  office  department. 

Departments  of  Merchandise.  Besides  departments  of 
organization  there  are  departments  of  merchandise  and 
of  selling  in  the  modem  store.  These  are,  however, 
sometimes  called  sections,  as  the  hosiery,  linen,  or  drug 
section.  Even  in  the  specialty  store  there  may  be  fifty 
sections  of  merchandise,  while  in  the  large,  general  es- 
tablishment there  may  be  several  hundred. 

The  General  Manager.  In  these  great  modern  business 
houses  the  smallest  details  and  matters  of  the  highest 
importance  move  according  to  a  well-ordered  and  well- 
defined  system.  Executive  responsibility  is  so  plain 
that  employees  in  every  branch  of  the  business  know 
clearly  who  are  in  authority  over  them.  In  all  such 
large  enterprises  there  is  usually  one  personality,  one 
master  mind,  which  directs  and  determines  the  policy  of 
the  business.  This  may  be  its  individual  proprietor,  its 
president,  secretary,  treasurer,  or  other  official.  Next  to 
the  actual  head  of  the  concern  is  the  person  in  direct 
command,  the  general  manager,  who  may  be  a  mem- 
ber of  the  firm  or  employed  by  it.  He  has  a  wide  over- 
sight of  all  the  interests  of  the  business,  yet  he  often 
gives  his  main  attention  to  the  merchandising  division. 
He  sets  limits  of  expenditure  for  the  buyers  before  they 
make  their  purchases  for  a  coming  season.  He  makes  a 
study  of  conditions  which  may  have  a  bearing  upon  the 


THE  DEPARTMENT  STORE  121 

trade  of  various  departments.  He  analyzes  national  and 
local  financial  prospects.  He  is  quick  to  anticipate 
changes  in  fashion  and  public  taste.  According  to  the 
usual  practice  the  general  manager  has  conferences  with 
his  buyers,  singly  or  in  groups,  at  fortnightly  or  monthly 
periods.  At  such  regular  councils  the  manager  presides 
and  brings  up  for  discussion  air  topics  of  large  interest. 
He  may  thus  on  any  day  obtain  a  comprehensive  view 
of  the  condition  of  the  entire  establishment.  He  goes, 
also,  from  department  to  department,  looking  after  the 
quality  and  prices  of  goods,  and  in  some  cases  all  bills 
checked  up  in  the  receiving  room  are  sent  to  his  office 
for  approval  before  being  paid.  The  general  manager 
is  the  chief  executive  of  the  business,  and  his  control  is 
felt  throughout  all  departments.  In  a  very  large  busi- 
ness his  duties  may  be  divided  among  several  men. 

The  Board  of  Managers.  The  four  managers  of  the 
great  departments  below  the  general  manager  consti- 
tute a  board  of  managers.  They  hold  regular  meetings, 
which  are  often  attended  by  the  general  manager,  dis- 
cuss all  problems  of  the  business,  and  vote  upon  methods 
for  its  conduct.  In  some  cases  the  directors  of  the 
corporation  take  charge  of  the  great  departments  and 
constitute  the  board  of  managers. 


CHAPTER  VI 
MERCHANDISING  OR  BUYING 

Merchandising  includes  the  buying,  care,  and  prepa- 
ration of  goods  for  sale.  It  covers  all  that  precedes 
advertising  and  actual  selling,  and  affords  a  very  com- 
mon avenue  to  the  boy  for  entrance  into  the  business 
of  the  department  store. 

Under  this  large,  general  division  come  five  impor- 
tant subdivisions  or  departments : 

The  Receiving  Room.  This  is  the  room  in  which 
all  merchandise  entering  the  store  is  received  and 
accounted  for.  * 

Positions.  The  positions  are  those  of  head  receiver 
and  assistant  head  receiver,  who  have  charge  of  all 
merchandise  coming  in;  the  receiving  clerk,  who  signs 
for  all  goods  received  and  makes  entries  in  the  proper 
journals ;  the  examiner,  who  opens  goods,  inspects  them, 
and  checks  them  from  the  invoices ;  the  bill  clerk,  who 
makes  a  record  of  bills  leaving  this  department;  the 
porters  and  handlers  of  merchandise. 

In  connection  with  the  receiving  room,  or  as  a  part 
of  it,  is  the  returned-goods  department,  which  has  to 
do  with  all  merchandise  returned  by  the  department 
store  to  wholesale  dealers.  The  positions  here  are  the 
clerk,  who  keeps  records  and  sends  bills  with  returned 
goods ;  the  packer ;  and  boy,  or  assistant  packer. 

122 


MERCHANDISING  OE  BUYING  123 

The  Marking  Room.  This  is  the  room  or  division 
of  the  store  in  which  goods  are  marked  with  cost  and 
selKng  prices.  In  a  large  store  it  is  usually  a  separate 
room ;  in  the  small  store  it  is  often  a  part  of  the  receiv- 
ing room,  set  aside  for  the  marking  of  merchandise,  but 
having  its  own  system  and  staff  of  employees. 

Positions.  The  positions  in  the  marking  room  are 
head  marker,  assistant  head  marker,  and  the  markers 
who  put  cost  and  selling  prices,  as  fixed  by  buyers  and 
the  merchandise  manager,  on  the  articles  of  merchan- 
dise before  they  are  brought  out  for  sale  or  sent  to 
the  stock  room. 

The  Stock  Room.  This  is  the  part  of  the  store  in 
which  reserve  or  surplus  merchandise  is  stored  after 
being  examined  and  marked  for  sale.  In  the  case  of 
stores  doing  an  extensive  business,  articles  taking  up 
a  large  amount  of  space,  such  as  furniture,  are  often 
stored  in  a  separate  building. 

Positions.  The  positions  here  are  the  stock  man  and 
his  assistants,  called  stock  boys,  who  have  charge  of 
all  merchandise  in  stock,  prepare  it,  and  bring  it  out 
for  sale. 

The  Division  of  Buying.  This  is  a  division  of  stead- 
ily growing  importance  in  the  modern  department 
store.  In  a  very  large  business  buyers  are  sometimes 
hired  by  the  firm  itself,  and  not  by  the  superintendent 
or  employment  manager.  There  are  from  thirty  or 
forty  to  one  hundred  or  more  buyers  in  stores  em- 
ploying from  one  thousand  to  five  thousand  people, 
according  to  the  number  of  merchandise  departments 
or  groupings. 


124  BUSINESS  EMPLOYMENTS 

Positions.  The  positions  in  tliis  department  are  the 
buyer,  assistant  buyer,  heads  of  stock,  and  clerks  who 
do  the  necessary  routine  work,  such  as  writing  letters 
and  filling  orders.  Buyers  have  sample  rooms  in  which 
they  meet  represeiitatives  of  wholesale  houses,  but  their 
clerical  work  is  usually  done  in  the  departments  to 
which  it  may  be  related. 

The  Buyer.  It  is  the  practice  in  the  larger,  newer, 
and  more  progressive  houses  to  allow  the  buyer  to 
manage  that  part  of  the  business  with  which  he  is 
immediately  connected  as  if  it  were  his  own.  He  buys 
the  merchandise  for  his  department,  usually  a  single 
line  only.  He  must  have  taste,  judgment,  and  business 
capacity,  both  for  buying  and  for  selling.  At  the  pres- 
ent time  many  buyers  in  department  stores  have  come 
from  specialty  stores,  such  as  dry  goods,  groceries  and 
provisions,  furniture,  art  goods,  toys,  or  jewelry.  An 
increasing  number,  however,  advance  from  the  ranks  in 
the  merchandising  or  selling  departments  of  a  store  to 
the  position  of  assistant  buyer  and  then  of  buyer. 

The  buyer  must  be  a  keen  judge  of  merchandise, 
both  as  to  its  intrinsic  value  and  as  to  its  market  value. 
He  must  also  know  kinds  of  goods  and  when,  where, 
and  how  much  to  buy.  He  must  be  able  to  purchase 
goods  that  will  suit  the  taste  of  the  greatest  number 
of  people.  In  producing  profit  for  the  store  the  buying 
by  one  person  must  be  set  over  against  the  selling  by 
scores  or  by  several  hundred.  This  shows  the  buyer's 
responsibility  and  his  value  to  the  firm.  He  is  the  pivot 
on  which  rests  in  large  measure  the  general  success  of 
the  business.    He  has  to  see  that  goods  are  properly 


MERCHANDISING  OR  BUYING  125 

priced  for  selling,  that  they  are  conspicuously  displayed 
in  the  sales  department,  and  that  the  sales  clerks  are 
instructed  as  to  the  nature  of  the  merchandise,  so  that 
they  can  talk  intelligently  to  customers.  He  must  also 
secure  proper  window  display  and  adequate  newspaper 
advertising,  usually  himself  preparing  newspaper  adver- 
tisements. The  test  of  his  efficiency  is  in  the  volume 
of  business  and  the  annual  profits  of  his  department. 

The  Assistant  Buyer.  Each  buyer  has  an  assistant 
who  is  supposed  to  be  capable  of  taking  his  place  in  his 
absence,  besides  helping  in  the  general  duties  of  the  de- 
partment. Many  buyers  make  frequent  trips  to  Europe, 
and  all  must  visit  the  mercantile  centers  of  the  country. 
Thus  the  assistant  is  left  as  resident  buyer  and  man- 
ager. Under  this  assistant  are  "  heads  of  stock,"  who 
have  charge  of  particular  stocks  of  goods.  From  the 
heads  of  stock,  who  have  made  a  thorough  study  of 
merchandise,  are  generally  selected  the  assistant  buyers. 
They  are  also  chosen  from  the  ablest  selling  clerks  who 
have  shown  a  willingness  and  a  fitness  to  learn  mer- 
chandising, or  to  manage  the  minor  details  of  a  depart- 
ment. The  assistant  makes  a  study  of  the  supply  and 
condition  of  merchandise  on  hand  and  aids  his  chief  in 
the  general  conduct  of  the  department. 

The  Merchandise  Manager.  The  merchandise  man- 
ager is  head  of  the  buying  department  and  chief  of 
the  merchandising  system.  He  may  be  simply  a  man 
of  very  high  ability  to  direct  large  affairs.  Usually, 
however,  in  addition  he  must  have  a  very  extensive 
knowledge  of  all  kinds  of  merchandise,  or  at  least  of 
the  most  important  lines.    He  may  have  been  a  very 


126  BUSINESS  EMPLOYMENTS 

capable  buyer,  promoted  to  take  the  direction  of  all 
buying.  From  his  position  he  may  become  a  member 
of  the  firm  or  corporation,  and  in  some  cases  members 
of  the  firm  take  upon  themselves  the  duties  of  mer- 
chandise managing,  each  having  charge  of  a  group  of 
buyers.  All  of  these  conditions  are  found  in  depart- 
ment stores,  from  the  man  who  has  merely  great  execu- 
tive capacity  to  the,  proprietor  of  a  business,  who  is 
himself  skilled  in  merchandising  or  managing. 

The  merchandise  manager  is  responsible  for  all  goods 
bought  and  put  in  stock  and  for  the  gross  receipts  of 
the  system.  He  must  see  that  goods  are  so  well  selected 
and  of  such  a  valuable  nature  that  their  sale  will  result 
in  a  reasonable  net  profit.  He  must  cooperate  with  the 
advertising  manager  in  promoting  sales.  He  looks  after 
all  merchandise  coming  in  and  on  hand  throughout  the 
store.  He  compares  the  weekly  reports  of  the  stock  men 
with  that  of  the  stock  office,  where  bills  are  entered 
from  the  receiving  room.  He  is  responsible  for  the 
personnel  and  training  of  his  subordinates  and  is  often 
aided  by  one  or  more  assistants. 

The  Assistant  Merchandise  Manager.  When  a  business 
has  become  very  extensive  and  the  merchandise  depart- 
ment has  many  and  large  divisions,  its  manager  may 
have  an  assistant  or  an  organization  of  immediate  sub- 
ordinates, standing  between  him  and  the  buyers.  Each 
assistant  has  under  him  a  group  of  selling  divisions,  with 
buyers  and  their  helpers.  The  assistant  may  study  the 
general  subject  of  profits,  in  an  advisory  capacity  only ; 
he  may  supervise  the  resources  of  the  department;  he 
may  study  the  problems  of  competition  between  stores 


MEKCHANDISING  OR  BUYING 


127 


and  between  the  departments  of  his  own  store ;  and  he 
may  deal  with  the  general  question  of  stocks  and  of 
plans  to  meet  the  needs  of  the  various  seasons. 


MERCHANDISE  MANAGER 


Assistant  Merchandise  Manager 


Stocks  of  Goods 


Buying  Organization 


Resources 


Profits 


Buyers 
Assistant  Buyers 


Heads  of  Stock 
Stock  Boys 


Stock  Departments 

From  a  few  to  several  hundred 
stock  divisions  ia  department 
stores 


DIAGRAM  OF  THE  MERCHANDISE  DEPARTMENT 


The  Boy  in  the  Merchandise  Department.  The  age 
limits  for  entering  this  department  are  practically  four- 
teen and  eighteen  years.  Boys  are  usually  taken  at 
the  age  of  sixteen  or  seventeen,  and  one  over  eighteen 


128  BUSINESS  EMPLOYMENTS 

would  be  more  likely  to  enter  some  other  occupation, 
or  if  he  were  fitted,  an  advanced  position  in  the  store. 
The  first  position  here  is  that  of  stock  boy.  Besides 
this  in  small  stores  boys  sometimes  perform  general 
duties  such  as  opening  cases,  unpacking  merchandise, 
putting  it  in  order  for  checking  and  marking,  checking, 
marking  in  the  receiving  room,  assorting  bundles,  pack- 
ing goods  for  delivery,  shipping,  handling  the  shipping 
truck,  and  booking.  Pay  at  first  ranges  from  |3  to 
$8  a  week,  according  to  age  or  the  work  performed. 
The  employer  is  constantly  on  the  watch  for  boys  capable 
of  filling  advanced  positions.  The  stock  boy  may  pass 
to  the  selUng  department,  to  the  advertising  office,  or  to 
the  retail  office,  with  the  advantage  of  his  experience  in 
handling  stock.  He  may  become  an  assistant  receiver  or 
receiver  in  his  department  at  pay  ranging  from  $15 
to  $30  a  week.  He  may  become  an  assistant  buyer 
and  in  time  buyer  or  merchandise  manager.  The  pay 
for  assistant  buyer  and  buyer  is  variable,  according  to 
the  ability  of  the  person  and  the  magnitude  of  the  busi- 
ness done  by  the  store.  The  assistant  may  receive  from 
$20  up  to  $40  or  $50  a  w«ek ;  the  buyer  from  $1000 
or  $2000  to  many  thousands  of  dollars  a  year. 


CHAPTER  VII 

SUPEEINTENDma  AND   SELLING 

Superintending  and  selling  are  so  vitally  connected 
in  the  great  field  of  the  modern  store  that  they  are 
usually  treated  together,  as  a  single  department.  This 
department  includes  all  features  of  employment  and 
superintending,  store  equipment,  and  all  forms  and 
branches  of  selling. 

Divisions  and  Positions 

The  following  list  of  divisions  and  positions  in  this 
double  department  is  fairly  typical: 

The  Employment  Office.  The  work  of  tliis  office  is 
vital  to  the  success  of  the  modern  store.  It  calls  for 
rare  capacity  in  judging  human  nature  and  ability,  and 
in  putting  the  right  person  in  the  right  place  in  a  great 
system.  The  duties  are  fourfold:  a  constant  estimat- 
ing of  the  force  required  throughout  the  store ;  a  care- 
ful study  of  resources  for  getting  help ;  the  keeping 
of  files  and  information  regarding  possible  applicants ; 
and  the  careful  selection,  placing,  and  following  up  of 
persons  taken  into  employment. 

Positions.  The  duties  are  the  same  in  this  division  in 
all  stores ;  but  various  titles  are  given  to  the  person  at 
the  head,  as  store  manager,  general  superintendent,  or 

129 


130  BUSINESS  EMPLOYMENTS 

employment  manager.  In  each  case  there  are  usually 
an  assistant  and  office  clerks. 

Floor  Superintending.  The  two  chief  positions  here 
are  the  floor  superintendent,  who  has  general  charge 
of  a  floor  or  selling  division,  and  the  floor  clerk,  who 
usually  acts  as  an  assistant  to  the  superintendent. 

Selling  and  its  Positions.  The  positions  here  divide 
into  two  classes,  —  the  sales  force  and  the  stock  force. 
The  sales  force  includes  the  sellmg  clerks,  often  spoken 
of  as  "  sales  people,"  who  are  scattered  throughout  the 
store  in  its  various  merchandise  departments  or  sections. 
The  sales  people  are  distinguished  by  departments,  as 
salesman  in  the  cotton-goods  section  or  furniture  de- 
partment ;  they  represent  the  firm  to  its  customers,  and 
the  requirements,  and  importance  of  their  work  will  be 
treated  more  fully  after  this  enumeration. 

After  merchandise  comes  from  the  stock  room  to  its 
departments  it  must  be  cared  for  before  being  sold. 
This  constitutes  the  work  of  the  stock  force.  In  caring 
for  stock,  boys  gradually  learn  the  nature  and  value  of 
merchandise,  and  by  watching  sales  persons  they  learn 
something  of  selling.  In  this  way  boys  graduate  into 
positions  as  selling  clerks,  clerical  assistants  to  buyers, 
and  regular  assistant  buyers. 

In  all  stores  are  found  floor  boys  in  connection  with 
selling.  Formerly  the  term  "  cash  boy  "  was  in  general 
use,  but  the  introduction  of  the  tube  system  in  hand- 
ling money  has  displaced  cash  boys  in  most  stores.  In 
heavy-goods  sections  the  term  "  bundle  boy "  is  in 
general  use.  The  floor  boy  comes  to  his  department 
first  in  the  morning,   dusts   and  removes  covers   from 


SUPEKIKTENBIKG  AND  SELLING  131 

merchandise,  does  cleaning  during  the  day,  keeps  water 
tanks  filled,  makes  special  deliveries  of  packages  out- 
side, and  is  messenger  among  departments  of  the  store. 
At  night  he  covers  merchandise.  If  there  is  no  stock 
boy  in  a  section,  the  floor  boy  does  stock  work. 

The  floor  boy  may  become  a  salesman  in  the  section 
in  which  he  is  serving,  but  it  is  advisable  that  he  should 
first  serve  in  the  receiving  room  or  stock  room,  to  be- 
come familiar  with  merchandise  and  prices. 

The  Educational  Department.  The  head  of  this  de- 
partment is  the  educational  director,  who  has  charge  of 
the  training  for  efliciency  of  all  groups  of  employees 
throughout  the  store.  This  division  is  more  fully  treated 
under  the  title  of  Social-Service  Work,  on  page  153. 

The  Division  of  Expense.  This  division  supervises  the 
general  expenses  of  the  business. 

Positions.  The  leading  positions  are  the  expense  man 
and  his  assistants.  The  expense  man  is  usually  an  as- 
sistant to  the  store  manager,  though  he  may  be  sub^ 
ordinate  to  the  oflice  manager.  He  should  be  able  to 
deal  with  and  analyze  figures,  and  to  pass  upon  and 
control  store  expenses. 

The  Division  of  Supply  and  Construction.  This  division 
deals  with  the  supervision  and  maintenance  of  buildings 
and  fixtures,  the  making  of  contracts,  and  the  buying 
and  care  of  office  and  departmental  supplies.  It  in- 
volves a  knowledge  of  construction,  of  engines,  motors, 
machinery,  and  of  general  building  equipment. 

Positions.  The  positions  are  superintendent  of  con- 
struction, purchasing  agent,  head  engineer  and  engi- 
neers,  electricians,   carpenters,   painters,   head    elevator 


132  BUSINESS  EMPLOYMENTS 

man  and  elevator  men,  head  porters  and  porters,  night 
superintendent,  watchman,  and  cleaners. 

The  Mail-Order  Department.  This  division  has  charge 
of  the  mail-order  busmess  of  the  store. 

Positions.  The  positions  are  the  head  of  the  mail- 
order department  and  assistant,  and  department  clerks, 
who  attend  to  the  routine  of  filling  orders  promptly 
and  accurately. 

The  Delivery  System.  This  division  has  to  do  with 
the  delivery  of  goods  from  the  shipping  room  to  the 
homes  of  customers  and  is  an  important  feature  of 
department-store  trade.  Merchandise  which  is  to  be 
delivered  at  the  home  is  sent  by  the  selling  clerk  to 
the  bundle  desk,  where  it  is  wrapped ;  then  it  is  taken 
to  the  shipping  room,  packed  if  necessary,  and  given 
to  the  delivery  wagon  or  express  company.  A  large 
business  may  have  a  separate  packing  room. 

Positions.  This  division  has  the  following  positions: 
the  head  examiner  and  assistant  head  examiner,  who 
are  responsible  for  the  condition  in  which  merchandise 
is  sent  out;  the  head  shipper,  assistant  head  shipper, 
and  shippers,  who  are  responsible  for  the  actual  sending 
of  goods ;  collectors  of  bundles,  who  get  packages  to 
the  shipping  room  and  sort  them  according  to  delivery 
districts;  bookers,  or  entry  clerks,  who  make  records  of 
shipments  ;  and  billing  clerks,  who  make  out  C.  O.  D.  bills. 

The  More  Important  Positions  and  Features  of  Superin- 
tending and  Selling.  The  leading  positions  and  features 
of  this  great  department  call  for  further  treatment,  that 
their  importance  and  place  in  the  entire  system  may 
be  clearly  seen.    The  positions  are  distinctly  executive, 


SUPEEINTENDING  AND  SELLING  133 

and  call  for  the  highest  business  and  executive  abihty. 
Along  with  the  leading  places  in  merchandising,  adver- 
tising, and  the  office,  they  present  a  high  opportunity 
to  the  man  of  education,  training,  and  capacity  who 
wishes  to  advance  in  the  business  world,  or  to  the  young 
man  already  in  the  system  who  has  native  ability  and 
determination  to  succeed. 

The  Store  Manager.  The  store  manager  in  many  stores 
is  called  the  general  superintendent.  He  has  charge 
generally  of  the  employment  of  help  and  of  training  for 
efficiency,'  of  the  selling  of  goods  and  service  to  custom- 
ers, of  the  construction  and  maintenance  of  buildings, 
of  the  mail-order  and  delivery  systems,  of  alterations 
in  garments,  of  correspondence,  and  of  the  general  ex- 
pense and  conduct  of  the  department.  The  duties  of 
the  store  manager  subdivide  into  the  great,  yet  inti- 
mately associated,  branches  of  superintending  and  selling. 

Diagram  of  Store  Management.  The  following  diagram 
shows  the  double  line  of  control  maintained  by  the  store 
manager.  The  first  group,  coming  closer  to  him  in  the 
actual  conduct  of  a  store,  has  to  do  with  employment 
and  all  provisions  concerning  employees.  The  second 
group,  somewhat  farther  removed  than  the  first,  deals 
with  building  and  equipment  and  selling  with  its  re- 
lated branches.  Selling  is  the  main  division,  for  which 
all  others  exist.  A  chief  or  head  of  each  division  is 
directly  responsible  to  the  store  manager.  This  diagram 
represents  a  complete  and  important  organization  within 
the  great  organization  of  the  modern  department  store. 

The  Store  Superintendent.  This  position  is  next  in  order 
and  importance  to  that  of  the  general  superintendent,  and 


134 


BUSINESS  EMPLOYMENTS 


both  are  found  in  the  highly  organized  store.    The  store 
superintendent  is  sometimes  called  the  superintendent 


[ 

STOEE  MANAGER 

] 

1 

Employ- 
ment 

Protec- 
tion 

Educa- 
tion 

Expense 

System 

1 

1 

Buildings 

and 

Supplies 

Merchandise 
Alterations 

Selling  Organ- 
ization 

Superintendent 
of  Selling 

Deliv- 
ery 

Mark- 
ing 

Mail 
Orders 

Floor  Superintendent 
Floor  Clerks 

Sales  People 
Floor  Boys 

Selling  Departments  or  Sections 

Erom  a  few  to  several  hundred 
selling  sections  In  department 
stores 

DIAGRAM  OF  STORE  MANAGEMENT 


of  selling.  He  has  direct  charge  of  the  sales  work  of 
the  store,  of  employing  minor  help,  of  arranging  mer- 
chandise for  sale,  of  keeping  merchandise  departments 


SUPERINTENDING  AND  SELLING  135 

in  proper  condition,  of  instructing  the  sales  force  in  its 
duties,  of  store  discipline,  of  controlling  the  expense  of 
the  selling  departments,  of  adjusting  claims  of  customers, 
and  of  the  work  of  all  floor  superintendents. 

The  Floor  Manager.  The  floor  manager,  or  superintend- 
ent, is  the  floor  executive.  He  is  directly  responsible 
for  the  duties  enumerated  under  the  store  superintend- 
ent. He  is  responsible  for  maintaining  a  high  standard 
of  salesmanship  and  prompt  and  satisfactory  service  to 
customers.  He  has  charge  of  exchanges,  credits,  and 
refunds  for  returned  merchandise,  and  of  special  cour- 
tesies to  customers.  He  must  see  that  merchandise  is 
kept  in  good  condition  and  so  displayed  that  its  sell- 
ing properties  are  conspicuous.  He  must  keep  his  floor 
division  presentable  and  his  sales  force  efficient  from 
the  store  point  of  view,  as  well  as  from  the  customers' 
point  of  view. 

The  floor  clerk  is  the  general  assistant  to  the  floor 
manager.  He  handles  such  details  as  making  exchanges, 
credits,  and  refunds. 

Requirements  for  Successful  Salesmanship.  The  re- 
quirements for  the  successful  sales  person  in  the  depart- 
ment store  are  both  native  and  acquired.  For  selling 
one  should  have  the  utmost  tact,  self-control,  mental 
alertness,  interest  in  human  nature,  and  faith  in  self  and 
in  the  business.  Training  given  in  the  store,  in  class 
work,  or  in  lectures  and  instruction  from  buyers  and 
floor  managers  lays  especial  stress  upon  the  following 
points,  among  the  many  that  belong  to  salesmanship: 

First.  The  care  of  stock.  A  neatly  kept  and  artisti- 
cally arranged  stock  is  the  first  step  toward  prepossessing 


136 


BUSINESS  EMPLOYMENTS 


customers  in  favor  of  merchandise.  Clerks  are,  accord- 
ingly, carefully  trained  in  these  matters. 

Second.  The  approach  to  a  customer,  which  should  be 
cordial  and  welcoming,  within  the  limits  of  refinement. 
Excessive  cordiality  is  a  handicap  at  the  outset. 

Third.  Talking  of  merchandise.  The  clerk  must  have 
an  intelligent  and  thorough  knowledge  of  the  styles, 
features,  and  quality  points  of  merchandise,  and  be 
able  to  present  these  honestly  and  effectively  to  the 
customer. 

Fourth.  The  closing  of  the  sale.  Since  first  and  last 
impressions  are  especially  strong  upon  a  customer,  it 
is  equally  necessary  that  the  last  impression  be  one  of 
courteous  and  willing  service. 

The  elements  of  efficient  salesmanship  may  be  fur- 
ther shown  by  the  following  simple  diagram.  They  are 
fivefold,  as  relating  to  the  sales  person,  the  system,  the 
merchandise,  the  store,  and  the  customer. 


Efficient  Salesmanship 


Good 

taste  in 

dress  and 

manners 


Full  com- 
pliance with 
the  store 
system 


Thorough 
knowledge 
of  merchan- 
dise 


Keen  sense  of 

responsibility 

to  the  store 

for  results 


Genuine 

desire  to 

satisfy  the 

customer 


DIAGRAM  OF  SALESMANSHIP  REQUIREMENTS 


The  Boy  in  the  Selling  Department.  A  boy  usually 
enters  this  department  between  the  ages  of  fourteen 
and  eighteen,  at  pay  ranging  from  $3  to  $4.50  a  week, 
and  with  a  maximum  of  $5  in  simple  duties  before 
promotion.  He  will  first  act  as  floor  boy  or  stock  boy, 
whose  duties  have  already  been  enumerated.    After  one 


SUPEEINTENDING  AND  SELLING  137 

or  two  years  he  may  be  promoted  to  be  inspector,  with 
a  maximum  of  $6  a  week.  After  several  years  he  may 
become  a  salesman,  with  pay  rangmg  from  $10  to  |20, 
except  in  the  rare  cases  of  great  ability  in  certain  lines 
of  selling.  A  general  progress  in  selling  is,  first,  on 
cotton  goods,  then  woolen  goods,  silks,  linens,  house- 
keeping goods,  furniture,  and  draperies.  This  progress 
is  not  at  all  fixed,  and  sales  people  are  transferred  ac- 
cording to  the  changing  demands  of  departments.  The 
pay  of  the  salesman  in  the  dry-goods  store  is  on  the 
average  a  little  higher  than  that  found  in  the  general 
department  store.  The  salesman  may  become  floor  super- 
intendent, with  pay  ranging  from  $20  to  $30  a  week. 
From  his  knowledge  of  stock  he  may  pass  into  the  mer- 
chandise department  as  assistant  buyer,  with  possible 
advance  to  buyer  or  merchandise  manager. 

The  Basis  of  Pay  in  Selling.  While  it  may  be  said 
that  pay  follows  the  law  of  supply  and  demand  in  the 
department-store  field,  the  regular  wage  of  employees 
is  based  upon  what  they  are  worth  in  the  view  of  the 
store  management.  In  the  selling  department  of  some 
stores  a  certain  amount  of  sales  constitutes  a  "quota," 
which  varies  according  to  the  selling  sections.  The 
sales  made  by  any  one  person  are  expected  to  reach  this 
quota,  to  warrant  a  fixed  standard  of  pay.  Often  the 
sales  person  receives  a  percentage  of  the  excess  above 
the  quota  of  his  section.  Suppose  one's  sales  to  total 
above  $150  a  week,  the  selling  clerk  may  receive  three 
per  cent  of  the  excess.  Again,  in  some  stores  all  selling 
clerks  receive  a  percentage,  as  one  half  of  one  per  cent, 
on  all  sales  made  during  the  holiday  season. 


CHAPTER  YIII 
THE  OFFICE  DEPAETME:N'T 

Its  Nature.  This  is  the  division  with  which  the  firm 
or  proprietors  of  a  department  store  have  closest  con- 
nection. It  is  the  division  in  which  all  departments 
meet  and  in  which  the  business  of  the  store  centers. 
Here  all  finances  and  accounts  are  adjusted  and  con- 
trolled. This  division  is  sometimes  called  the  department 
of  office  work. 

Simple  Office  Divisions.  Stores  differ  greatly  in  office 
divisions  and  methods,  according  to  the  magnitude  of 
business  and  the  number  and  personality  of  owners 
and  managers.  The  simplest  divisions,  found  in  effect 
in  the  actual  working  of  all  stores,  are  the  Main  Office, 
from  which  the  chief  activities  of  the  house  are  directed  ; 
the  Retail  or  Charge  Office,  in  which  credit  accounts  are 
kept ;  and  the  Auditing  Department,  which  reviews  the 
transactions  of  the  entire  business. 

Divisions  in  Office  Work  in  the  Highly  Organized 
Store.  The  office  is  divided  into  the  foUowmg  divisions, 
with  subheads : 

1.  The  Credit  and  Collection  Department  investigates 
the  financial  standing  of  applicants  for  credit,  approves 
the  opening  of  charge  accounts,  and  makes  collection 
after  the  bills  have  been  rendered. 

138 


THE  OFFICE  DEPARTMENT  139 

2.  The  Charge  Account  Bookkeeping  makes  a  record 
of  all  the  charge  sales,  debiting  and  crediting  customers' 
accounts,  and  sees  that  itemized  statements  are  sent  to 
the  customer  at  the  close  of  each  month,  and  that  all 
payments  by  customers  are  properly  "posted. 

3.  The  Cashier's  Office,  or  Accounting  Room,  as 
it  is  sometimes  called,  receives  and  deposits  all  of  the 
cash  which  comes  in,  and  keeps  a  record  of  all  that 
goes  out,  debiting  and  crediting  the  proper  accounts 
for  each  item. 

4.  The  C.O.D.  Division  has  charge  of  the  accounts 
for  all  sales  made  to  customers  on  a  C.O.D.  basis,  keeps 
an  individual  record  of  each  sale,  and  sees  that  the 
transportation  company  delivers  the  merchandise  and 
that  proper  returns  are  made  to  the  cashier's  office.  . 

5.  The  Auditing  Department  is  responsible  for  a  daily 
examination  and  comparison  of  all  transactions.  It  sees 
that  the  record  of  each  sale  as  made  by  the  selling  depart- 
ment agrees  with  the  cash  received  and  charge  accounts 
billed  and  the  C.O.D.  accounts  billed,  rendering  a  daily 
report  of  its  work  and  verifying  the  total  transactions 
for  the  day. 

6.  The  Purchase-Records  Department  keeps  a  record 
of  all  outstanding  orders  for  merchandise,  enters  on  the 
daily  sheet  all  invoices  of  merchandise,  making  sure 
that  they  are  properly  checked  with  the  actual  merchan- 
dise received,  and  returns  the  invoices  to  the  payment 
department  for  entry  and  payment. 

7.  The  Payment  Department  has  charge  of  the  pay- 
ment of  all  bills  by  check  after  they  have  been  properly 
approved  for  receipt  of  the  merchandise,  its  quality  and 


140 


BUSINESS  EMPLOYMENTS 


quantity,  correct  price,  correct  extension  and  footings, 
and  for  final  authorization  for  payment. 

8.  The  Stock-Record  Department  keeps  a  record  by 
selling  departments  of  the  merchandise  received,  listed 
by  date  and  day  of  invoice,  name  of  manufacturer,  total 
cost  and  retail  of  each  invoice,  and  per  cent  of  profit  on 
each  invoice. 

9.  The  Statistical  Department  furnishes  all  kinds  of 
statistical  statements  and  reports  for  the  information  of 


1 

OFFICE  MANAGER 

1 

Credits 

Clerical 

Bookkeeping 

Cash 
Office 

1              1 

1          1 

A-udlting 

Payroll 

statistics 

Stock 
Records 

Charge 
Accounts 

C.  0.  D. 
Accounts 

Payments 

DIAGRAM  OF  THE  OFFICE  DEPARTMENT 


the  executives  of  the  business,  usually  in  comparative 
form  and  in  great  variety. 

Positions  in  the  Office  Department  in  the  Highly  Or- 
ganized Store :  Treasurer  and  assistant  treasurer ;  office 
manager,  who  has  charge  of  the  keeping  of  the  records ; 
assistant  recording  manager;  credit  manager,  or  credit 
man,  who  has  oversight  of  the  credit  system  of  the  store ; 
assistant  credit  man ;  head  auditor,  who  examines  all 
accounts ;  cashiers ;  heads  of  retail  divisions,  who  have 
charge  of  the  office  accounts  of  their  division ;  head 
of  the  division  for  the  payment  of  bills;  head  of  the 


THE  OFFICE  DEPAETMENT  141 

division  for  CO.  D.  bills;  head  of  the  division  of  store 
records  ;  head  of  the  pay-roll  department ;  clerks  in  each 
division ;  collectors  who  follow  up  outside  accounts ; 
stenographers  and  operators  of  typewriters ;  bookkeepers ; 
secretaries  ;  and  office  boys. 

There  are  various  titles  for  clerks  in  the  office  de- 
partment in  different  stores,  determined  by  the  particular 
duties  of  the  clerk,  such  as  billing  clerks,  who  make  out 
bills  in  the  case  of  credit  accounts,  authorization  clerks, 
who  pass  on  sales  to  credit  customers,  and  ledger  clerks, 
who  keep  ledger  accounts. 

Some  stores  use  an  outside  collecting  agency  or  have 
a  regularly  employed  attorney. 

The  Bookkeeper.  The  bookkeepers  form  a  distinct 
division.  They  are  really  ''  ledger  clerks,"  or  "  ledger 
men,"  whose  work  consists  in  posting  accounts  to  ledgers. 
They  are  generally  young  men.  Some  stores  demand 
previous  training  in  bookkeeping,  others  give  an 
opportunity  for  a  boy  to  learn  it  in  office  routine. 

An  Actual  Case  of  Advancement.  Herewith  is  given 
an  actual  case  of  advancement  in  the  office  of  a  depart- 
ment store.  This  advance  was  almost  exactly  dupli- 
cated in  a  second  store  and  is  typical  of  the  possibilities 
of  office  work. 

At  the  age  of  sixteen  a  boy  entered  the  retail  office 
as  office  and  errand  boy;  at  seventeen  he  was  copying 
and  adding  on  books;  at  eighteen  he  was  figuring  on 
invoices  and  on  rates  of  profits;  at  nineteen,  on  rates 
of  profits;  at  twenty  he  was  making  stock  statements 
and  profit  statements;  at  twenty-one  he  was  assistant 
in  the  stock  office ;  at  twenty-six  he  was  head  of  the 


142  BUSINESS  EMPLOYMENTS 

foreign  office ;  at  thirty-four  he  was  assistant  to  the 
treasurer;  and  at  thirty-five  he  became  the  treasurer 
of  the  corporation. 

In  these  particular  cases  advancement  resulted  from 
hard  and  persistent  effort  and  provided  opportunity. 
Such  advantage  was  taken  of  the  first  small  promotions 
that  there  was  fitness  for  the  larger  openings  as  they 
came,  and  the  young  man  rose  high  in  the  service  at  a 
comparatively  early  age. 

The  Boy  in  the  Office  Department.  The  boy  may  enter 
this  department  at  the  age  of  fourteen  as  an  office  boy 
at  $3,  $3.50,  or  |4  a  week.  After  several  years  he 
would  not  generally  receive  over  $5  or  $6.  If  of  suf- 
ficient ability  he  might  be  promoted  to  some  clerical 
position  in  a  division  of  the  office  or  be  transferred  to 
some  other  department  of  the  store.  Older  boys  with 
evident  ability  or  previous  experience  may  enter  in  an 
advanced  position  as  office  clerk  or  assistant  at  $8  or  $9 
a  week,  advancing  to  $12  or  $15.  A  boy  may  some- 
times enter  as  a  stenographer  and  operator  of  type- 
writer at  $6  a  week,  and  advance  to  $15  or  $20  after 
several  years.  The  usual  limits  of  pay  for  bookkeepers 
are  $12  and  $18.  Heads  of  office  divisions  receive  from 
$20  to  $50  a  week,  while  managers  are  paid  salaries 
of  several  thousands  of  dollars  a  year. 

Service  in  this  department  is  generally  permanent, 
whether  one  masters  only  routine  duties  or  becomes  a 
division  head  or  manager.  In  .every  case  efficiency  is 
of  permanent  value  to  the  entire  system  and  receives 
proper  reward  in  the  matter  of  promotion  and  salary. 


CHAPTER  IX 
THE  ADVEETISING  DEPAETMENT 

Its  Nature.  This  is  the  division  of  publicity.  Its 
work  is  to  make  known  to  the  public  the  merchandise 
of  the  store.  This  is  done  in  the  daily  papers  or  other 
periodicals,  and  by  catalogues,  circulars,  placards,  and 
store  display,  by  a  clear,  concise,  and  attractive  presen- 
tation of  the  nature  and  prices  of  goods  for  sale.  The 
department  must  be  in  constant  touch  with  all  branches 
of  the  business. 

The  Modern  Trend.  The  advertising  department  is 
making  great  advancement  in  scope  and  in  methods  at 
the  present  time.  Modern  advertising  is  opening  up  a 
new  field  of  occupation  in  all  lines  of  trade,  and  no- 
where is  it  more  effective  or  noticeable  than  in  the  retail 
advertising  of  the  great  department  store.  The  matter 
of  department-store  publicity  is  often  a  question  of  the 
personality  and  ability  of  the  head  of  the  business.  In 
many  of  our  great  stores  the  owner  is  a  better  advertiser 
than  trader.  In  other  stores  the  converse  is  true ;  the 
proprietor  may  be  a  good  buyer  and  seller  but  have  little 
or  no  ability  in  advertising,  succeeding  largely  by  means 
of  his  superior  trading  qualities.  On  the  one  hand,  a 
merchant  who  is  a  natural  advertiser  finds  it  necessary  to 
surround  himself  with  men  who  can  bring  to  the  busi- 
ness more  skill  and  natural  aptitude  and  experience  in 

143 


144  BUSINESS  EMPLOYMENTS, 

merchandising  than  he  himself  may  possess.  On  the 
other  hand,  the  man  who  is  a  natural  trader  but  lacks 
the  faculty  of  advertising  will  need  more  the  services  of 
men  skilled  in  publicity.  The  newer  conception,  which 
is  likely  to  be  followed  in  the  development  of  the 
function  of  retail  advertising,  is  to  take  a  larger  view 
of  both  merchandising  and  advertising  —  to  regard  one 
as  the  buying  and  productive  function  and  the  other 
as  the  sales  or  distributing  function,  comprehending  all 
forms  of  selling.  This  is  the  line  on  which  the  trade 
of  the  larger  stores  of  the  country  is  developing. 

Divisions  in  Store  Advertising.  The  customary  divi- 
sions of  the  publicity  department  of  the  store  are  news- 
paper advertising,  art  department,  sign  department, 
circulars  and  announcements.  In  some  stores  the  mail- 
order department  is  an  advertising  division ;  in  others 
it  is  entirely  separate.  In  some  stores  the  advertising 
department  is  responsible  for  windows;  in  others  this, 
also,  is  a  separate  division  of  the  business.  In  some 
stores  the  advertising  department  is  really  a  subdivision 
of  merchandising;  in  most,  however,  it  is  an  entirely 
separate  department,  responsible  only  to  the  head  of 
the  entire  business. 

Positions.  The  usual  positions  are  the  advertising 
manager,  assistant  advertising  manager,  and  office  assist- 
ants ;  the  head  of  the  art  department  and  other  artists ; 
the  head  window  dresser  and  assistants ;  the  head  of 
the  sign  department,  sign  writer,  and  assistants. 

The  Publicity  Manager.  The  head  of  the  advertis- 
ing department  must  have  versatility,  breadth  of  view, 
and  extensive  knowledge  of  human  nature.    He  is  the 


THE  ADVEKTISIKG  DEPARTMENT 


145 


spokesman  of  the  business,  and  must  present  it  in  such 
a  manner  as  to  attract  and  hold  the  patronage  of  the 
pubhc.  While  leading  in  the  work  of  his  department  he 
must  also  follow  the  established  policy  of  the  house. 
He  must  keep  in  touch,  as  well,  with  methods  used  in 
the  general  field  of  advertising.  His  best  preparation 
is  threefold,  coming  from  experience  in  merchandising, 
selling,  and  newspaper  work.    The  publicity  manager 


PUBLICITY  MANAGER 

Controller 

Style  Expert 

Competition 
Reports 

Records 
and  Results 

Windows 


I    Assistant  Publicity  Manager 

I 

Newspapers |  [signs]  [illustrations |  [Decorations [  [Fixtures [ 


DIAGRAM  OF  THE  ADVERTISING  DEPARTMENT 


is  the  composite  of  an  active  newspaper  man  and  an 
enterprising  merchant. 

By  a  natural  division  of  the  duties  of  the  department 
the  manager  may  be  assisted  by  men  who  occupy  impor- 
tant places  in  the  store  publicity. 

Important  Assistant  Positions.  There  is  usually  an 
expert  copy  writer  who  understands  also  the  use  of 
types  in  printing.  This  writer  knows  exactly  how  much 
material  will  fill  a  certain  amount  of  space  ajud  how 
to  make  the  fewest  words  possible  bring  the  greatest 


146  BUSINESS  EMPLOYMENTS 

results.  Copy  writers  go  into  departments  for  material 
or  call  for  it  from  the  departments.  There  may  be 
another  person  whose  work  consists  in  looking  after  the 
newspapers.  He  should  know  the  nature,  circulation, 
and  advertising  rates  of  all  the  papers  in  his  city  and 
suburban  towns.  He  sees  that  a  set  of  scrapbooks  is 
kept  in  which  are  pasted  all  the  advertisements  of  the 
store,  cut  from  the  various  papers,  as  well  as  advertise- 
ments of  other  stores.  Such  information  is  of  the 
highest  value  to  the  department  and  to  the  buyers  of 
merchandise.  Another  assistant  may  keep  a  record  of 
appropriations  for  advertising  purposes  and  of  the 
results,  or  the  percentage  of  business  gained  from  the 
outlay.  He  keeps  a  record,  also,  of  the  amount  of  news- 
paper space  used  by  each  department.  There  should  be 
at  least  one  artist  to  make  drawings  of  merchandise 
for  cuts  and  designs  for  special  advertising.  There 
should  be  one  especially  expert  stenographer  to  take 
dictated  copy  from  the  manager  or  copy  writers  and 
to  put  it  into  such  shape  that  the  compositor  can  set 
it  up  readily  and  accurately. 

The  Boy  in  the  Advertising  Department.  The  age 
limits  for  entering  this  department  are  usually  fourteen 
and  eighteen  years.  A  boy  would  enter  as  errand  boy 
or  as  helper  to  an  advertising  man,  at  $3  a  week,  but 
if  nearer  the  higher  limit  of  age  and  of  evident  ability 
he  would  receive  |3.50  or  |4.  In  this  department  he 
is  generally  chosen  for  his  intelligence.  His  duties 
consist  of  running  errands  between  the  office  and  the 
different  departments,  carrying  copy,  assisting  the  news- 
paper man,  and  making  himself  generally  useful.     He 


THE  ADVERTISING  DEPARTMENT         147 

may  advance  to  |6  in  two  or  three  years'  time.  Then, 
if  of  sufficient  hterary  abihty  or  training  and  of  good 
judgment  in  handUng  advertising  matter,  he  might  be 
promoted  to  preparing  advertisements,  as  received  from 
buyers  or  assistant  buyers  of  departments,  for  news- 
paper insertion.  The  pay  for  this  work  varies  from  |12 
to  $30  a  week,  averaging  from  $18  to  |20.  The  next 
step  would  be  assistant  advertising  man ;  the  final, 
advertising  manager.  Assistant  managers  receive  from 
|20  to  |35,  and  managers  are  paid  a  salary  of  from  $50 
a  week  to  as  high  as  |1 0,000  a  year. 

Work  producing  Advertising  Men.  At  the  present 
time  in  the  great  stores  more  successful  advertising  men 
have  come  from  newspaper  work  than  from  any  other 
field.  Many  young  men  in  the  stores  are  now  receiving 
their  training  under  such  advertising  managers.  Some 
buyers,  because  of  their  knowledge  of  merchandise  and 
their  ability  to  set  forth  its  selling  qualities,  have 
found  their  place  in  the  advertising  department  of  a 
store.  Young  men  from  the  selling  department,  also, 
enter  the  store-publicity  work. 

Advertising  holds  an  even  place  with  the  other  divi- 
sions of  the  department  store.  It  offers  fewer  positions 
for  employment,  but  calls  for  high  ability  and  presents 
large  opportunities  to  young  men  with  fitness  for  its 
duties. 


CHAPTER  X 

CONDITIONS  OF  SEKVICE 

Hours  of  Employment.  The  hours  of  service  iii  the 
good  department  store  are  usually  from  8.30  to  5.30, 
or  6  o'clock,  with  an  hour  off  for  lunch.  Through  the 
summer  season  stores  usually  close  at  five  o'clock,  and 
on  Saturday  afternoons  at  one  o'clock.  Some  stores 
keep  open  evenings  in  the  holiday  season,  and  extra 
time  is  sometimes  required  of  employees  who  have  to 
do  with  the  care  of  stock. 

Seasonal  Increase  in  Trade.  In  some  departments  and 
in  stores  which  are  in  part  specialty  houses,  trade  is  in 
a  degree  seasonal.  While  a  large  and  steady  volume 
fills  the  entire  year,  special  sales  and  seasons  in  the 
year  bring  such  an  increase  of  trade  as  to  call  for  the 
addition  of  temporary  employees.  The  largest  increase 
comes  at  the  time  of  the  Christmas  holidays.  On  the 
whole  this  seasonal  increase  does  not  greatly  affect  the 
service  and  prospect  of  the  regular  employees. 

The  diagram  on  page  149  shows  the  seasonal  and 
special  fluctuations  m  the  volume  of  trade. 

Seasonal  Increase  and  Decrease  in  Number  of  Employ- 
ees. The  largest  volume  of  trade  occurs  in  the  spring 
and  fall,  or  in  the  months  of  April,  October,  November, 
and  December.  The  store  which  carries  a  full  line  of 
holiday  goods,  including  a  toy  department,  increases  its 

148 


CONDITIONS  OF  SEEVICE 


149 


number  of  employees  by  from  twenty  to  thirty  per  cent 
at  the  Christmas  holidays.  The  same  store  falls  about 
ten  per  cent  below  the  normal  in  the  periods  of  least 
trade,  or  in  vacation  time.  The  specialty  store  increases 
from  ten  to  fifteen  per  cent  at  its  busiest  period  and 
decreases  about  ten  per  cent  in  vacation  time.  An  or- 
dinary department  store,  employing,  for  instance,  four 
thousand  people,  usually  enlarges  this  number  by  eight 


Special  sales  (not  limited  to  months) 
Periods  of  overtime 


The  holidays 


Jan. 

Ea 

ster 

Vacation 
months 

Special 
sales 

^ 

X1VIC1,J   ^ 

Feb. 

Mar. 

Apr. 

May 

June 

July 

Aug. 

Sept. 

Oct. 

Nov. 

Dec. 

DIAGRAM  OF  SEASONAL  CHANGES 

The  curved  line  represents  approximately  the  usual  temporary  increase 

and  decrease  in  the  volume  of  business ;  the  broken  line,  the  normal  or 

average  trade  for  the  year 


hundred  or  more  in  the  holiday  season,  and  falls  below 
by  three  or  four  hundred  in  the  dull  season.  The  best 
of  those  taken  at  the  holiday  season  may  be  retained 
permanently,  while  the  least  efficient  of  those  in  earlier 
service  in  the  store  may  be  discharged.  On  the  other 
hand,  there  is  a  growing  number  of  people,  mostly 
young  and  having,  comparatively  small  personal  ex- 
penses through  living  at  home,  who  seek  holiday 
employment    only.     Each    year    these    people    form    a 


150  BUSINESS  EMPLOYMENTS 

considerable  part  of  the  increased  number  of  employees 
in  retail  stores  of  all  kinds  in  the  holiday  season. 

Vacation.  Employees  who  have  served  a  store  for 
one  year  or  more  generally  have  an  annual  vacation  of 
two  weeks  with  pay. 

Physical  Conditions.  In  older  buildings  there  are 
sometimes  insufficient  light,  ventilation,  and  space  for 
comfortable  service,  but  the  best  sanitary  engineering  is 
now  secured  in  the  modern  department-store  building. 

Influences  making  for  Fatigue.  In  the  busy  retail 
house  there  is  a  tension  not  found  in  the  wholesale 
house  or  in  the  various  lines  of  manufacture.  The  sell- 
ing force  works  in  an  atmosphere  charged  with  excite- 
ment. The  bustling,  hurrying,  changing  crowds,  the 
meeting  of  so  many  people,  the  constant  effort  to  do 
one's  work  quickly  and  acceptably,  especially  with  the 
added  need  of  pleasing  the  customer,  produce  more  than 
physical  weariness;  they  are  nerve-wearing  influences. 
Yet  these  same  forces  operate  to  make  the  mind  alert 
and  the  wit  keen,  and  to  produce  the  efficient  clerk  and 
executive.  Moreover,  these  strain-producing  conditions 
are,  in  the  better  stores,  offset  in  a  measure  by  the  vari- 
ous features  of  welfare  work,  by  the  effort  of  the  store 
management  to  make  the  business  atmosphere  congenial 
and  helpful,  and  by  the  spirit  of  comradeship  that  per- 
vades the  body  of  employees  in  a  department  and 
throughout  an  entire  store. 

The  objections  of  greatest  weight  against  service  in 
a  department  store,  such  as  low  pay,  poor  ventilation, 
standing,  and  overwork,  apply  rather  to  the  lower-grade 
stores  and  especially  to  female  service. 


CONDITIONS  OF  SEEVICE  151 

Competition  in  Service.  A  disadvantage  to  the  young 
man,  perhaps  the  worst  he  has  to  encounter  in  the  de- 
partment-store field,  is  that  of  competition  from  female 
service.  Girls  and  women  are  found  in  preponderating 
numbers  in  the  great  retail  houses,  and  in  some  cases 
occupying  higher  positions,  such  as  buyer  or  assistant 
buyer.  Certain  departments  call  for  feminine  taste  and 
instinct,  and  the  superior  selling  abilities  of  women  in 
many  lines  of  merchandise  are  generally  recognized.  In 
certain  specialty  stores,  for  instance,  the  sales  force  con- 
sists entirely  of  girls  and  women;  and  the  positions  in 
certain  minor  divisions  of  the  large  store  not  treated  at 
length  in  this  study,  such  as  Information  Bureau,  Re- 
fund Desk,  and  Post-Office  Station,  are  filled  regularly 
by  female  employees. 

The  relative  divisions  of  employees  in  department 
stores  at  the  present  time  are  very  nearly  thirty  per 
cent  male  and  seventy  per  cent  female.  In  the  general 
store,  male  help  is  usually  found  in  the  heavy  sections, 
such  as  furniture  and  carpets,  often  in  the  sections 
carrying  the  more  expensive  lines,  such  as  silks,  and 
almost  exclusively  in  the  division  of  men's  clothing. 

Where  the  Way  Divides.  There  is  a  period  between 
the  service  of  the  boy  and  that  of  the  man  when  ad- 
vancement seems  to  cease.  This  occurs  usually  when  the 
limit  of  the  boy's  earnings  has  been  reached  and  when 
only  a  few  out  of  many  employees  may  be  promoted  to 
the  higher  positions.  It  comes  in  merchandising,  for  in- 
stance, between  the  grade  of  head  of  stock  and  that 
of  assistant  buyer.  When  one  has  passed  this  line 
of  demarcation  his  success  in  merchandising  depends 


152  BUSINESS  EMPLOYMENTS 

largely  on  his  ability.  Again,  in  selling,  in  the  smaller 
stores,  there  are  few  intermediate  places  between  the 
ordinary  clerk  and  the  heads  of  departments.  This 
period  might  be  termed  a  point  of  turning,  or  a  part- 
ing of  the  ways.  The  dull  boy  will  drop  out ;  the 
bright,  capable  boy  is  likely  to  go  on. 

The  boy  or  young  man  of  average  ability  may  earn 
up  to  $10  or  $12  in  various  places;  above  this  there  are 
few  openings  below  |18  or  |20.  The  higher  business 
and  executive  positions  call  for  marked  ability  and  ca- 
pacity, and  the  great  majority  of  boys  fail  to  reach  them. 
A  conservative  estimate  mdicates  that  of  the  boys  who 
enter  department  stores  less  than  ten  per  cent  remain 
permanently,  and  of  this  number  probably  from  ten  to 
twenty  per  cent  only  reach  the  higher  places.  The  greater 
number  leave  the  service  at  this  point,  where  earnings 
cease  to  advance.  Ambitious  young  men  are  attracted 
only  by  the  high  or  executive  positions  in  merchandis- 
ing, superintending,  selling,  advertismg,  or  recording. 

To  remedy  this  condition  and  to  secure  a  fairly  per- 
manent body  of  trained  employees,  the  most  progressive 
department  stores  are  organizing  educational  features, 
and  are  analyzing  avenues  of  promotion  with  a  spirit 
and  energy  which  must  enhance  the  value  of  depart- 
ment-store work  as  a  vocation.  Such  stores  as  fail  to 
appreciate  the  need  of  this  service  to  their  employees 
will  be  unable  to  attract  the  qualified  youth. 

Service  in  a  department  store  provides  the  best  of 
practical  training  for  one  who  may  wish  later  to  enter 
into  business  for  himself  or  to  seek  employment  in  a 
specialty  store  or  in  a  smaller  establishment. 


CHAPTER  XI 
SOCIAL-SERVICE  WORK 

The  Nature  of  this  Work.  In  establishments  whose 
employees  number  hundreds  or  thousands,  there  arises 
a  need  for  various  kinds  of  work  for  their  general  wel- 
fare. Much  has  been  done  along  these  lines  in  recent 
years  in  the  best  department  stores.  To-day  the  effort 
to  make  the  business  atmosphere  congenial  is  one  of 
the  decided  advantages  to  a  young  person  who  is  about 
to  enter  the  field.  Managers  in  the  business  are  recog- 
nizing more  and  more  the  need  of  consideration  for  the 
social  welfare  of  the  person  employed  and  that  among 
the  conditions  conducive  to  the  best  results  are  not 
only  lighting,  ventilation,  and  sanitation,  but  general 
good-fellowship  among  employees,  permanent  advance- 
ment, and  social  and  vocational  opportunities.  There 
are  now  in  most  of  the  larger  stores  persons  whose 
sole  function  is  to  study  the  needs  of  all  employees 
and  to  provide  the  means  for  improving  their  general 
efficiency  and  weffare.  Each  store  in  which  these  agen- 
cies are  developed  provides  rooms  or  meeting  places 
for  this  new  department  of  social-service  work. 

The  boy,  therefore,  who  enters  the  well-regulated 
department  store  may  feel  that  provision  is  made  for 
his  educational  advancement  along  the  lines  of  the 
business  and  for  his  social  and  material  well-being. 

153 


154  BUSINESS  EMPLOYMENTS 

Three  Lines  of  Opportunity.  The  work  of  this  division 
falls  into  three  general  lines  of  opportunity  or  training, 
educational,  administrative,  and  social,  all  of  which  tend 
to  increase  the  welfare  and  efficiency  of  the  employee. 

These  may  be  grouped  as  follows : 

Educational  Training 

The  School  of  Salesmanship.  By  its  school,  of  sales- 
manship the  department  store  supplements  the  work  of 
the  public  schools  and  gives  practical  training  to  the 
employee  whose  work  lies  in  selling. 

1.  Class  Work.  This  work  is  carried  on  by  a  regular 
instructor,  who  may  be  the  educational  director  or  an 
assistant.  Employees  of  all  ages  and  of  all  terms  of 
service  are  taught  the  principles  of  salesmanship  and 
sales-slip  practice.  Such  a  system  of  training  in  selling 
is  the  oldest  and  one  of  the  most  important  forms  of 
efficiency  work  in  the  modern  store. 

A  recent  account  of  such  a  school  in  one  large  store 
contains  the  following: 

The  value  of  the  school  is  perhaps  best  illustrated  by  the 
attitude  of  the  sales  people  themselves.  At  first  there  was  an 
erroneous  impression  on  the  part  of  some  that  the  classes  were 
made  up  of  sales  people  whose  work  was  indifferent  or  unsatis- 
factory and  that  attendance  was  a  reflection  on  their  selling 
ability.  This  impression  has  now  entirely  disappeared.  Those 
who  at  first  thought  it  would  be  a  stigma  to  attend  are  loudest 
in  their  praise  of  the  school  and  of  the  value  of  the  training 
which  it  gives,  many  have  expressed  regret  that  the  classes  were 
not  longer,  and  there  have  been  numerous  requests  for  permis- 
sion to  take  the  very  same  course  a  second  time.  It  has  been 
especially  gratifying  that  sales  people  of  many  years'  experience 


SOCIAL-SERVICE  WORK  155 

have  frankly  and  voluntarily  acknowledged  the  great  assistance 
which  they  have  received  from  the  work. 

Buyers  and  floor  superintendents  are  in  the  best  position  to 
see  the  results  of  the  training  received  in  the  classes.  The  suc- 
cess of  their  departments  depends  to  a  large  extent  on  the  effi- 
ciency of  their  sales  force.  They  can  and  do  observe  the  work 
which  is  being  done  by  each  sales  person,  note  the  improvement 
on  the  part  of  each  one  who  has  attended  the  classes,  and  com- 
pare the  work  with  that  of  other  sales  people  who  have  not  yet 
had  the  opportunity  of  receiving  instruction.  The  verdict  of  the 
buyers  and  floor  superintendents  is  unanimous.  They  have  spoken 
in  the  most  flattering  terms  of  the  good  results  achieved  and 
of  the  great  improvement  which  even  a  short  course  makes  in 
the  work  of  their  sales  people.  The  buyers  and  floor  superin- 
tendents select  those  who  are  to  attend  the  classes,  and  they  are 
all  eager  to  have  as  many  of  their  sales  people  as  possible  receive 
the  benefit  which  the  instruction  gives. 

Some  of  the  topics  treated  in  lectures  by  floor  superintend- 
ents have  been  the  following:  The  Attitude  of  Sales  people 
toward  the  Floor  Superintendent ;  Courtesy ;  Cooperation ;  Hab- 
its; The  Care  of  Stock;  The  Advantage  of  the  School;  Ambi- 
tion; Honesty;  Discipline;  Appearance;  Patience;  Opportunity; 
The  Willing  Worker. 

Administrative  Training 

1.  Efficiency  Bulletins.  Small  bulletins  are  usually 
issued  at  regular  periods,  for  the  purpose  of  giving  em- 
ployees expert  information  and  suggestion  upon  points 
of  salesmanship  and  efficiency  service.  These  bulletins 
are  placed  in  the  hands  of  the  floor  managers,  who 
read  them  to  their  employees,  with  added  comment 
as  occasion  may  require,  and  post  them  in  proper 
places.  Such  a  bulletin  generally  deals  with  one  im- 
portant topic,  from  the  pomt  of  view  of  the  store 
management. 


156  BUSINESS  EMPLOYMENTS 

2.  Merchandise  Conferences.  The  buyer  regularly 
gives  informal  talks  to  the  sales  force  in  his  depart- 
ment as  to  the  nature  of  merchandise  to  be  sold. 

3.  Efficiency  Records.  These  are  rating  sheets  for 
the  younger  employees,  such  as  stock  and  floor  boys 
and  girls,  who  are  doing  work  of  an  apprenticeship 
nature.  These  records  are  made  out  monthly  by  their 
immediate  executive,  the  floor  manager. 

Such  records  are  placed  on  file  in  the  educational  office. 

4.  School  Enrollment.  This  means  practically  voca- 
tional guidance,  or  advice,  extending  to  all  the  people 
in  the  organization.  The  educational  director,  or  adviser, 
holds  interviews  with  employees,  to  discuss  their  former 
training,  present  ambitions,  and  further  courses  of  study 
in  schools  or  classes  outside  OJi  the  store.  A  record  is 
kept  of  all  such  school  attend  ince.  Some  department- 
store  employees  are  enrolled  in  university-extension 
courses. 

Provision  is  made,  also,  for  admission  to  outside 
lectures  which  are  likely  to  be  of  a  stimulating  and 
helpful  character. 

Social  Features 

Under  this  heading  may  be  grouped  all  those  advan- 
tages which  have  nothing  to  do  directly  with  training 
one  for  better  service  in  his  department.  Every  regular 
employee  of  the  store  is  entitled  to  be  a  member  of  the 
associations  or  clubs  organized  in  this  division.  Gener- 
ally no  dues  are  imposed  and  participation  in  club  work 
is  optional.  The  chief  organizations  may  be  enumerated 
as  follows : 


SOCIAL-SERVICE  WORK  *■  157 

1.  A  Mutual-Aid  Association,  established  to  give  its 
members  a  voice  in  their  government,  to  increase  their 
efficiency,  and  to  add  to  their  social  opportunities. 

2.  An  Insurance  or  Mutual-Benefit  Association,  with 
a  very  small  initiation  fee  and  weekly  dues,  which  pro- 
vides a  definite  benefit  in  case  of  sickness  or  death. 

3.  A  Savings-Deposit  System  for  employees,  guaran- 
teed by  the  firm  against  all  losses.  Employees  may  leave 
their  pay  on  deposit,  with  interest  as  in  a  savings  bank. 

4.  A  Medical  Department,  free  to  employees,  with 
a  medical  adviser  who  comes  to  the  store  at  certain 
stated  periods  for  consultation  with  store  people  who 
may  be  in  need  of  such  services.  In  some  cases  a 
woman  physician  is  added  to  the  staff  and  a  nurse  is 
provided.  General  lectures  upon  health  are  given 
before  meetings  of  employees.  In  connection  with 
this  department  health  and  athletic  committees  are 
frequently  formed. 

5.  The  Lecture  Committee.  Health  talks  have  led  to 
lecture  courses,  with  well-known  speakers  on  subjects 
of  interest,  given  regularly  at  the  end  of  the  store  day. 

6.  The  Library  Committee.  This  committee  supplies 
the  popular  trade  and  literary  magazines,  books,  and 
daily  papers. 

7.  The  Suggestion  Committee,  organized  "to  encour- 
age thought  and  to  interest  employees  in  the  policy  and 
activities  of  the  store."  This  committee  offers  prizes 
for  suggestions  that  may  in  any  way  result  in  help  or 
profit  to  the  business. 

8.  The  Entertainment  Committee,  which  arranges 
summer  outings,  or  various  social  meetings  for  employees. 


158  BUSINESS  EMPLOYMENTS 

9.  The  Club-House  Committee,  which  provides  a 
dining  room  or  advantages  for  lunches  or  low-cost 
food  for  employees. 

10.  The  Music  Committee,  whose  duty  it  is  to  ar- 
range for  the  musical  training  or  practice  of  employees. 

11.  A  Store  Paper,  containing  matters  of  social  or 
special  interest  to  employees. 

Workers  in  this  Division.  The  names  of  positions  in 
weKare  work  are  as  yet  unsettled.  The  terms  "educa- 
tional director"  and  "welfare  manager"  have  been  in  use 
in  some  stores.  The  educational  director  has  charge  of 
agencies  for  the  training  of  employees  in  efficiency ;  the 
welfare  manager,  of  social  work  or  of  all  activities  for 
the  promotion  of  efficiency  and  well-being.  The  manager 
and  director  are  regularly  assisted  by  subcommittees 
of  store  people,  or  by  special  helpers  such  as  may  be 
necessary  to  conduct  any  activity  in  welfare  work. 

A  Sample  Daily  Club  Report.  Herewith  is  given  a 
sample  "  Consolidated  Daily  Report  of  Store  Organiza- 
tions" used  by  one  of  the  great  stores  of  the  country. 
The  list  of  this  report  includes  such  organizations  as  are 
additional  to  the  customary  work  of  a  store  and  may  be 
called  clubs.  The  traming  given  in  these  clubs  is  edu- 
cational and  disciplinary,  and  increases  the  interest  and 
efficiency  of  the  employee  for  the  business  with  which 
he  is  connected.  It  creates  an  esprit  de  corps  in  an  estab- 
lishment and  repays  many  fold  any  outlay  on  the  part 
of  a  firm.  The  advancement  of  the  young  person  de- 
pends largely  upon  the  individual.  He  should  show  a 
readiness  and  willmgness  to  profit  by  the  opportunities 
for  training  provided  by  the  store. 


SOCIAL-SERVICE  WOEK 


159 


CONSOLIDATED  DAILY  REPORT  OE  STORE 
ORGANIZATIONS 


Organization 


Classes 

Senior  Branch 

Junior  Branch 

Cornet  Section 

Bass  Section 

Traps  and  Drums 

Clarinet  Section 

Saxophone  Section 

Alto  Section 

Boys'  Bugle 

Boys'  Drum 

Advanced  Violin 

Beginners'  Violin 

Orchestra 

Glee  Club 

Military  Band 

Senior  Bugle  and  Drum  Corps  . 
Junior  Bugle  and  Drum  Corps  . 
Military  and  Physical  Drills 
Provisional  Company,  A    .    .    . 
Provisional  Company,  B    .    .    . 

Hospital  Corps 

Junior  Boys 

Veteran  Corps'  Meeting  .  .  , 
Dramatic  Club  Rehearsal  .  .  . 
Debating  Club  Meeting  .  .  . 
Board  of  Officers'  Meeting     .    . 

Alumni  Association 

Choral  Society 

Business  Club 

Athletic  Association 

Beneficial  Association  .... 
Employees'  S.  and  L.  Assoc.  . 
Carriers'  Inspection 


Mem- 
beksiiip 


Time 


Location 


160 


BUSINESS  EMPLOYMENTS 


CONSOLIDATED  DAILY  KEPORT  OF  STORE  ORGANI- 
ZATIONS   (Continued) 


Organization 

Mem- 
bership 

Absent 

Time 

Location 

Classes 

Night-Watch  Drill 

House  Porters'  Drill 

Fire-Tower  Drill 

Valve  Drill 

Fire  Brigade  Drill 

Elevator  Operators'  Drill  .    .    . 

• 

Remarks 


CHAPTER  XII 
THE  EMPLOYEE,  PAY,  AND  PROMOTION 

SUGGESTIONS  FROM  AN  EMPLOYER  TO  YOUNG  PERSONS 
WHO  MAY  WISH  TO  ENTER  THIS  OCCUPATION 

I  bring  to  you  a  message  from  the  World  of  Business.  You 
demand  my  credentials ;  you  want  to  know  by  what  right  and 
authority  I  dare  to  encroach  upon  the  domains  of  your  minds  and 
try  to  influence  your  thought.  In  other  words,  you.  want  to  know 
whether  I  am  a  competent  authority  on  my  subject  or  not. 

My  answer  is  that  I  have  lived  in  the  business  world,  both 
here  and  in  Europe  for  many  years,  that  I  have  employed  many 
thousands  of  boys  and  girls,  men  and  women,  and  that  my  duties 
have  given  me  large  opportunities  for  observation.  Are  my  cre- 
dentials satisfactory?  It  is  your  right  and  duty  to  examine  a 
man's  credentials  before  you  allow  his  influence  to  enter  into 
your  life,  whether  he  be  your  physician,  your  lawyer,  or  business 
man.  I  think  this  is  of  vast  importance  and  I  hope  I  have 
made  my  point  clear. 

Now  I  want  you  to  imagine  that  you  have  finished  your 
school  education  and  that  you  are  at  my  office  door  seeking 
employment. 

I  will  tell  you  before  you  enter  that  I  shall  be  influenced  to  a 
large  extent  by  your  personal  appearance.  Much  depends  upon 
my  first  impression  of  you.  Many  a  young  man  has  received 
short  audience  in  my  office  because  his  linen  was  soiled  and  his 
hands  yellow  with  nicotine,  and  more  than  likely  I  have  turned 
away  some  men  and  women  of  ability,  just  on  account  of  the 
bad  impression  they  made  upon  me  by  their  untidy  personal 
appearance.  I  tell  you  this,  that  you  may  see  the  great  im- 
portance of  always  looking  your  best,  and  especially  when 
seeking  a  position. 

161 


162  BUSINESS  EMPLOYMENTS 

Now  we  will  assume  that  I  am  satisfied  with  your  personal 
appearance ;  my  first  impression  of  you  has  been  in  your  favor, 
but  that  is  not  enough.  The  only  safe  way  to  judge  a  man's 
future  is  to  know  his  past.  You  must  fill  out  one  of  these  appli- 
cation blanks  that  I  show  you,  in  which,  as  you  see,  I  ask  you 
many  pertinent  questions ;  you  must  account  to  my  satisfaction 
for  a  certain  number  of  years  of  your  life.  You  must  give  me 
the  names  of  everybody  by  whom  you  have  been  employed,  also 
the  name  of  your  last  school  teacher.  I  shall  write  to  all  these 
people,  asking  them  to.  substantiate  your  statements  and  to  give 
me  their  opinion  of  your  honesty  and  ability,  assuring  them  that 
their  replies  will  be  treated  as  absolutely  confidential.  Your  em- 
ployment now  depends  upon  the  answers  I  receive  from  these 
people.  If  there  is  the  least  doubt  about  your  honesty,  I  shall 
not  hire  you.  .  But  if  all  of  your  references  as  to  honesty  are 
good,  added  to  the  good  impression  your  appearance  has  made 
upon  me,  even  though  your  last  employer  does  not  speak  highly 
of  your  ability,  I  may  engage  you,  and  trust  to  the  new  environ- 
ment to  make  an  eflBcient  man  of  you,  but  you  must  bring  to  my 
office  a  clean  bill  of  character,  or  your  case  is  hopeless. 

Now  we  will  assume  that  you.  have  satisfied  me  on  every 
point.  I  have  been  impressed  by  your  courteous  manner  and 
your  personal  appearance.  Your  former  employers  and  your 
school  teacher,  in  answer  to  my  inquiries,  have  recommended 
you  highly  as  to  character  and  ability,  and  I  have  decided  to 
take  you  into  the  employ  of  the  great  house  I  represent.  Before 
taking  you  and  turning  you  over  to  the  head  of  the  department 
in  which  I  intend  to  start  you,  I  will  ask  you  to  take  a  seat  in 
my  office,  while  I  give  you  some  sound  advice. 

Always,  and  under  all  conditions,  be  courteous.  I  know  of 
nothing  that  will  help  you  over  the  difficulties  you  will  encounter 
in  the  world,  and  in  your  work,  like  courtesy.  Everybody  stands 
ready  to  help  the  courteous  man  or  woman.  I  think  the  most 
powerful  words  in  the  English  language  are  "please"  and  "thank 
you."   You  can  lift  mountains  with  them. 

Another  link  in  the  chain  that  I  am  forging  for  you  is  perse- 
verance. Without  this  link,  your  chain  is  weak  indeed.  I  want  to 
tell  you  of  a  certain  type  of  boy  who  comes  to  me  for  employment. 


THE  EMPLOYEE,  PAY,  AND  PEOMOTION     163 

I  look  up  from  my  desk  and  say  that  we  have  no  opening  to-day. 
Still  he  persists,  saying  that  he  is  willing  to  do  anything,  no 
matter  what  it  is.  Again  I  answer,  telling  him  I  am  sorry,  but 
I  have  nothing  to  offer  him.  He  goes  to  the  door  and  then 
again  turns  back  with  some  new  suggestions  as  to  his  ability  to 
fill  some  position.  By  his  very  perseverance  he  has  attracted  my 
attention,  and  I  say  to  myself,  if  that  boy  is  as  persistent  with 
his  work  as  he  is  with  me,  he  will  be  a  success.  He  has  won. 
I  hire  him. 

You  tell  me  that  you  have  always  been  afraid  to  go  to  work 
in  a  great  department  store,  with  its  thousands  of  employees,  for 
fear  that  you  would  be  overlooked  and  your  ability  not  recog- 
nized. Let  me  tell  you  that  the  larger  the  store,  the  more  and 
the  better  the  opportunities  for  your  ability.  If  you  are  over- 
looked, it 's  your  fault.    Do  something  to  attract  attention  to  yourself. 

For  educational  equipment,  you  must  be  able  to  write  a  good 
plain  hand,  to  express  yourself  in  the  English  language  with  pre- 
cision and  brevity,  and  to  spell  correctly.  You  must  be  able  to 
do  examples  in  common  arithmetic,  such  as  addition,  subtraction, 
extension,  discount,  and  percentage. 

What  surprises  the  business  man,  is  the  deficiency  in  these 
things  that  he  finds  in  many  boys  and  girls  who  take  up  the 
business  life.  You  would  be  surprised  if  you  knew  how  a  large 
concern  suffers  from  poor  work  in  these  simple  requirements. 
The  principal  fault  of  the  average  man  and  woman  who  apply 
for  work  in  which  these  requirements  are  necessary  is  inaccuracy. 

Let  your  training  be  as  accurate  as  possible  in  the  studies  I 
have  mentioned.  Cultivate  honesty,  courtesy,  accuracy,  initiative,  • 
persistency,  and  a  love  of  hard  work,  and  you  have,  altogether, 
a  good  equipment  with  which  to  make  a  business  success. 

Some  Qualities  Required.  The  requirements  for  serv- 
ice in  a  department  store  are  exacting.  Boys  who 
enter  should  have  good  health  and  habits;  they  should 
be  willing  to  work  hard,  through  a  long  and  busy  day, 
and  to  obey  as  if  under  a  military  system ;  they  should 
be   neat   in    appearance,   gentlemanly   in    manner,    and 


164  BUSINESS  EMPLOYMENTS 

quick  to  think  and  act.  One  who  looks  to  the  higher 
places  must  have  executive  ability  or  'business  capac- 
ity, and  show  faithfulness  and  interest  in  any  minor  or 
intermediate  position  that  he  may  hold.  Stores  are  con- 
ducted first  of  all  on  business  principles,  and  the  young 
man  whose  service  is  most  efficient,  or  most  profitable 
to  the  business  as  a.  whole,  is  the  one  selected  for 
promotion. 

Educational  Training.  Most  of  the  good  department 
stores  require  at  least  a  full  grammar-school  education. 
One  must  have  the  simple  English  branches,  with  good 
training  in  penmanship,  the  English  language,  and  arith- 
metic. Elementary  business  and  commercial  courses  are 
helpful,  and  a  high-school  education  is  an  advantage. 
The  young  man  as  well  as  the  young  woman  may  now 
offer  a  knowledge  of  stenography  and  typewriting.  In 
executive  positions  in  the  most  advanced  stores  are 
found  college  graduates  or  men  of  advanced  educa- 
tional or  mercantile  training,  in  increasing  numbers. 
The  courses  in  finance  and  business  administration  now 
offered  in  some  colleges  and  universities  are  of  the 
highest  value  to  the  young  man  who  would  fit  himseK 
to  go  into  the  department-store  field  as  into  a  profession. 

Young  men  with  the  simplest  education  have  advanced 
to  the  highest  places  in  the  great  stores  in  the  past,  in 
many  cases  growing  up  with  the  business ;  but  at  the 
present  time  there  is  a  large  and  increasing  demand  for 
the  best  of  business-educational  training  and  equipment. 

There  are  two  main  lines  of  purpose  and  progress  open  to  the 
department-store  employee  who  wishes  to  make  his  mark.  The 
first,  and  perhaps  more  advisable,  is  to  train  himself  to  become  a 


THE  EMPLOYEE,  PAY,  AND  PEOMOTION     165 

thoroughly  efficient  and  expert  department-store  man;  the  sec- 
ond, to  achieve  expertness  in  some  particular  department. 

To  accomplish  the  first,  one  must  acquire  something  more 
than  a  superficial  knowledge  of  niany  things,  —  of  the  many  dif- 
ferent businesses  that  center  in  the  department  store  as  a  whole. 
He  must  know  something  of  the  express  and  freight  business, 
something  of  the  arts  of  advertising  and  correspondence,  some- 
thing of  arithmetic  and  accounts,  of  salesmanship  and  merchan- 
dising, of  seasons,  demand,  and  supply.  He  cannot  know  too 
much  or  be  too  competent.  He  must  become  a  master  of  depart- 
ment-store routine  and  requirements.  Such  a  man  has  a  train- 
ing that  gives  his  services  a  commercial  value  wherever  English 
is  spoken  and  goods  are  sold. 

If  you  have  decided  to  become  a  department-store  expert,  a 
transfer  from  one  department  to  another  can  only  broaden  your 
experience,  enlarge  your  knowledge,  and  acquaint  you  with  prob- 
lems that  you  have  not  before  had  the  opportunity  to  study. 

The  other  course  is  to  specialize;  to  select  some  particular 
kind  of  merchandise  —  woolens,  linens,  millinery,  ready-made 
garments  —  and  study  and  learn  that  line  literally  from  the 
ground  up ;  to  familiarize  oneself  with  the  production  of  the 
raw  material,  with  processes,  methods,  varieties,  qualities, 
markets,   prices,   and    seasons. 

If  it  be  your  purpose  to  specialize,  a  transfer  may  mean  any 
of  several  things,  —  that  you  are  not  as  valuable  in  your  special 
branch  as  you  had  supposed,  or  that  you  have  proved  yourself 
so  useful  in  some  specific  way  that  your  services  in  that  respect 
are,  temporarily,  more  valuable  to  the  house  in  some  other  de- 
partment than  in  your  own.  If  your  specializing  is  as  good  as 
you  take  it  to  be,  it  will  be  strong  enough  to  draw  you  back  to 
your  chosen  department  when  the  temporary  stress  is  over.^ 

Pay.  Pay  for  the  unskilled  and  untrained  boy  who 
enters  the  department  store  is  about  what  he  will  earn 
at  first  in  any  mercantile  business.  It  runs  from  |3  to 
|6  a  week  for  the  boy  from  fourteen  to  eighteen  years 

1  Quoted  from  a  department-store  paper. 


166  BUSINESS  EMPLOYMENTS 

of  age,  and  is  rather  a  matter  of  age  than  of  position. 
By  promotion  and  transfer  he  may  advance  to  $12  or 
$15,  outside  of  selHng,  or  to  |18  as  a  salesman.  In 
some  of  the  larger  stores  salesmen  of  high  ability  in  cer- 
tain departments,  such  as  rugs,  furniture,  or  silks,  may 
receive  as  much  as  $35  or  $40  a  week.  It  requires  special 
ability  and  aptitude  to  reach  the  higher  positions  that  lie 
beyond  the  break  between  the  $12  position,  which  may 
be  taken  as  an  average  of  the  lower  grades,  and  places 
paying  $20  or  more.  The  man's  pay  in  the  various  lines 
of  store  service  ranges  from  $10  or  $12  upward. 

While  it  may  be  said  that  the  rank  and  file  of 
employees  can  be  easily  replaced,  yet  because  of  the 
remarkable  growth  of  department  stores  in  recent  years 
there  has  arisen  an  increased  demand  for  employees, 
greater  than  time  alone  could  produce,  especially  for 
the  higher  positions.  Pay,  therefore,  in  these  advanced 
places  is  higher  than  under  old  conditions  or  than  it 
would  otherwise  be.  At  the  present  time  there  are  not 
enough  boys  and  young  men  of  higher  ability  and  fit- 
ness entering  the  department  stores  to  fill  the  places  of 
greater  responsibility  and  profit  when  reached  in  course 
of  service.  Accordingly,  stores  are  obliged  to  search 
among  their  employees  for  persons  worthy  of  promotion, 
to  take  help  from  smaller  houses  and  specialty  stores, 
and  often  to  advertise  for  help  for  particular  lines  of 
service  or  for  the  holiday  trade. 

Pay"  in  the  upper  positions,  then,  must  be  such  as  to 
draw  young  men  of  the  desired  qualities,  of  experience, 
or  with  a  knowledge  of  merchandise  and  trade  condi- 
tions.   Salaries  range  from  $20  or  $25  a  week,  or  from 


THE  EMPLOYEE,  BAY,  AND  PROMOTION     167 

$1000  to  many  thousands  of  dollars  a  year.  Heads  of 
departments,  buyers,  superintendents,  advertising  men, 
and  merchandise  men  receive  as  high  salaries  as  are  paid 
generally  in  the  world  of  commerce  or  manufacture. 

Promotion.  Because  of  the  great  number  of  merchan- 
dise departments  in  a  modern  store  and  the  thousands 
of  people  employed,  there  must  be  constant  promotion 
all  along  the  line.  Positions  are  left  vacant  by  persons 
who  leave  the  store  through  unfitness,  to  enter  other 
occupations,  or  on  account  of  age ;  and  new  positions 
are  steadily  created  through  the  expansion  of  business. 
As  has  been  said  abeady  in  this  study  the  chief  oppor- 
tunity of  the  boy  is  found  in  the  merchandise  depart- 
ment. Knowledge  of  merchandise  may  bring  an  opening 
for  him  in  all  departments  except  that  of  office  work 
which,  like  office  work  in  any  other  field,  is  not  depend- 
ent upon  the  nature  of  the  business.  He  may  grow 
up  in  merchandising  to  buying,  or  through  selling  to 
superintending,  or  find  a  place  in  advertising  where 
knowledge  of  merchandise  is  a  prime  factor. 

Some  positions,  as  elevator  boy  and  shipper,  are  not 
in  the  nature  of  apprenticeship  and  bring  no  advance, 
though  transfers  from  such  duties  are  frequently  made. 

A  boy  may  be  transferred  from  one  department  to 
another  whenever  he  seems  fitted  to  fill  an  opening 
position.  Superintendents  and  managers  are  constantly 
promoting  and  transferring  boys  and  young  men  to 
keep  the  upper  places  filled,  and  taking  on  new  help 
for  the  places  left  open  at  the  bottom.  There  is  con- 
stant change  with  continual  effort  to  obtain,  promote, 
and  hold  the  most  efficient  people.    It  is  not  easy  to 


168  BUSINESS  EMPLOYMENTS 

obtain  boys  who  have  patience  and  determination  to 
stand  by  when  the  break  comes  between  the  boy's  pay 
and  the  man's  pay,  after  three  or  four  years  of  service. 
Most  boys  who  enter  department  stores,  even  though 
some  of  them  are  worthy  of  advancement,  drop  out  at 
this  time.  From  the  small  percentage  remaining,  the 
higher  places^  numbering  into  the  hundreds  in  most  of 
the  large  stores,  must  be  filled. 

Advice  from  a  Store  Manager.  Herewith  are  given 
certain  points  of  advice,  touching  upon  promotion,  from 
the  general  manager  of  one  of  the  largest  and  best- 
known  department  stores  in  the  country: 

1.  Remember  that  the  larger  and  stronger  the  organization, 
as  a  rule,  the  slower  the  progress  of  a  beginner  therein,  but  the 
greater  the  reward  in  the  end,  to  the  one  who  will  stick  and 
continue  to  grow. 

2.  Advancement  is  inevitable  and  need  not  be  sought  else- 
where, provided  the  young  man  in  question  continues  to  study 
as  well  as  work.  He  must  know  his  present  "job"  and  perform 
its  duties  thoroughly,  but  in  addition  he  must  be  climbing 
higher  in  his  observation,  thinking,  studying,  and  reading,  so 
that  instead  of  settling  into  a  rut  he  is  steadily  broadening  in 
his  knowledge  and  capacity. 

3.  When  he  finds  himself  sought  out  with  offers  of  positions  else- 
where he  may  fairly  well  conclude  that  he  is  making  good  progress 
where  he  is,  and  that  in  all  probability  to  hold  on  until  he  has 
reached  or  is  ready  for  the  top,  where  he  now  is,  will  do  more  for 
him  in  the  end  than  to  step  aside  for  that  which  may  offer  a  little 
larger  sum  immediately  in  hand  but  is  only  a  way  station. 

There  are  those  who  need  to  drift  around  from  place  to  place, 
because  in  so  doing  they  receive  the  knocks  and  the  pressure 
which  compel  progress.  These  are  those  who  have  not  got  it  in 
them  to  compel  their  advance  from  within  themselves.  Those 
who  can  do  the  latter  usually  rise  best  by  perseverance  and  con- 
tinuance in  the  suitable  thing  or  the  position  first  undertaken. 


THE  EMPLOYEE,  PAY,  AND  iPEOMOTION     169 

In  the  great  majority  of  cases  service  in  a  department  store  is  of 
high  value  as  a  training  for  a  boy ;  many  who  leave  the  large  es- 
tablishment go  into  good  positions  in  other  stores  or  in  other  fields. 

Positions  which  bring  a  boy  into  contact  with  the  firm,  with 
the  stock,  or  with  customers  are  the  ones  that  lead  him  ahead. 

Actual, Cases  of  Advancement.  The  most  usual  lines 
of  promotion  and  transfer  for  boys  may  be  best  shown 
by  actual  examples  in  one  of  the  large  stores,  among 
those  investigated,  for  the  month  of  July,  there  being 
from  one  to  six  cases  of  each  of  the  following:  floor 
boy  to  retail  office;  floor  boy  to  shipping  room;  office 
boy  to  stock  boy ;  office  boy  to  time  desk ;  errand  boy 
to  inspector ;  errand  boy  to  truckman  ;  teller  to  stock 
boy ;  inspector  to  retail  office ;  inspector  to  mail-order 
department;  inspector  to  receiving  room;  inspector  to 
stock  boy;  inspector  to  examiner;  inspector  to  bushel- 
ing  room ;  inspector  to  adjustment  office  ;  truck  to  sales- 
man ;  truck  to  inspector ;  truck  to  office ;  stock  boy  to 
salesman ;  elevator  boy  to  salesman  in  the  bedding  sec- 
tion. To  this  may  be  added  a  few  cases  of  young  men 
during  the  same  time  and  in  the  same  store:  salesman 
to  floor  superintendent ;  cashier  to  retail  office  ;  assistant 
buyer  to  buyer  in  the  hosiery  department ;  salesman  to 
overseer  of  juvenile  help  ;  assistant  buyer  of  silks  to 
manager  of  a  millinery  house  of  an  outside  firm ;  from 
the  stock  office  of  the  store  to  the  department  of  school 
supplies  of  the  city  of  Boston,  through  a  civil-service 
examination. 

This  was  in  the  comparatively  quiet  season  of  the 
year.  About  twenty  new  boys  were  taken  into  the  busi- 
ness to  fill  the  vacancies  caused  by  such  promotions. 


170  BUSINESS  EMPLOYMENTS 

Following  are  some  examples  of  actual  advancement 
in  a  large  store,  of  boys  who  began  and  continued  their 
business  career  in  one  store  exclusively.  At  the  earlier 
periods  indicated  by  these  dates  the  term  "  cash  boy " 
was  in  more  general  use  than  at  the  present  time. 


ENGAGED  AS  CASH  BOY,  SEPTEMBER,  1887 


Cash  Boy 

Office  Boy  in  Superintendent's  Office 
Stock  Boy  in  Hosiery  and  Underwear 
Salesman  in  Hosiery  and  Underwear 
Decorator  and  Buyer's  Clerk  in  same 

Assistant  in  same 

Buyer  now  in  same 

Makes  two  Foreign  trips  annually. 


8  months 
12  years 
1  year 

1  year 

2  years 
2  years 
5^  years 


ENGAGED  AS  CASH  BOY,  NOVEMBER,  1899 

Cash  Boy 1  year 

Errand  Boy  in  Bureau  of  Adjustments  ...  1  year 

Clerk  in  Bureau  of  Adjustments 1  year 

Tracer  in  Bureau  of  Adjustments 1  year 

Office  Boy  in  Furniture 9  months 

Clerk  in  Furniture  Office 2  years 

Stock  Clerk  in  Furniture 2  years 

Assistant  and  Buyer 3^  years 


ENGAGED  AS  CASH  BOY,  DECEMBER,  1888 

Office  Boy  in  Superintendent's  Office  ....  3  years 

Clerk  in  Superintendent's  Office 4  years 

Chief  Clerk  in  Superintendent's  Office    ...  3  years 

Assistant  in  Oriental  Goods 6  years 

Buyer  of  Oriental  Goods 6  years 

Makes  annual  Foreign  trip. 


THE  EMPLOYEE,  PAY,  AND  PROMOTION     171 

ENGAGED  AS  CASH  BOY,  MAY,  1904 

Cash  Boy 5  months 

Office  Boy  in  Bureau  Adjustments      ....  6  months 

Stock  Boy  in  House  Furnishings 1  year 

Stock  Keeper  in  Ladies'  Suits 3  years 

Head  of  Stock  in  Ladies'  Suits 2  years 

Assistant  Head  now 8  years 


ENGAGED  AS  CASH  BOY,  OCTOBEK,  1894 


Cash  Boy 

Office  Boy  and  Clerk  in  Notions     .     . 
Stock  Boy  in  same  department       .     . 
Charge  of  Stock  in  same  department 
Second  Assistant  in  same  department 
First  Assistant  in  same  department  now 


1  year 

3  years 

2  years 

4  years 
4  years 

3  years 


The  following  quotation  from  a  government  investi- 
gation ^  is  of  interest,  although  on  the  employment  of 
women,  as  agreeing  with  the  investigations  whose  re- 
sults are  presented  in  this  book,  and  as  pointing  the 
way  for  the  boy  as  well  as  the  girl. 

The  dominant  forces  in  department-store  organization,  of 
course,  are  the  men  who  furnish  the  capital.  They  provide  the 
money  and  they  expect  results.  They  must  know  and  trust  their 
assistants.  The  greatest  care  is  necessary,  therefore,  in  their 
selection.  A  large  department  store  employs  a  manager,  who 
engages  the  buyers  and  has  general  supervision  of  the  depart- 
ments ;  and  a  superintendent  of  employees,  who  has  general 
charge  of  the  working  force.  Next  in  rank  to  the  manager  are 
the  real  heads  of  departments,  or  "  buyers,"  as  they  are  generally 
called.   These  are  men  or  women  who  have  risen  from  the  ranks. 

1  ''  Wage-Earning  Women  in  Stores  and  Factories."  Volume  V  of 
Report  on  the  Condition  of  Women  and  Child  Wage  Earners  in  the 
United  States,  1910,  Department  of  Commerce  and  Labor,  Senate 
Document  No.  645,  p.  40. 


1T2  BUSINESS  EMPLOYMENTS 

In  nearly  every  case  they  are  graduates  from  behind  the  counter. 
The  rank  of  buyer  or  assistant  buyer  is,  therefore,  the  highest 
position  open  to  females.  It  is  the  goal  of  the  ambitious  sales- 
woman—  the  dream  of  many  a  little  cash  girl.  Next  in  rank 
below  the  buyers  and  assistant  buyers,  or  department  heads,  are 
the  saleswomen,  who  constitute  nearly  half  of  all  the  women 
employees. 

What  are  the  requirements  of  a  good  saleswoman  ?  A  verba- 
tim quotation  from  an  official  of  one  of  the  largest  department 
stores  in  the  country  shows  what  is  expected  of  her : 

"  Expert  knowledge  of  goods  and  stock ;  expert  knowledge  of 
people  and  the  community  in  which  the  store  is  located ;  expert 
knowledge  of  styles,  fashions,  and  customs ;  intimate  knowledge 
of  the  principles  and  policies  of  the  store ;  absolute  honesty 
in  dealings ;  utmost  courtesy  and  kindness ;  accuracy  in  filling 
orders ;  a  good  memory  for  names  and  faces ;  a  single  desire  to 
please  and  satisfy  the  customers,  upholding  at  all  times  the  dig- 
nity and  honor  of  the  store.  Good  goods  and  good  service  are  the 
great  foundation  stones  of  a  store,  and  the  sales  people  must  help 
to  keep  these  foundations  firm.  Physical  health  and  cleanliness 
of  person  and  a  clear  brain  are  of  vital  importance." 


SUMMARY  OF  POSITIONS 

Members  of  the  Eirm  or  Corporation,  or  High 
Officials 
Proprietor 
President 
Secretary 
Treasurer 
General  Manager 
Board  of  Managers 

1.  The  Merchandise  Manager 

2.  The  Store  Manager  (General  Superintendent  or  Super- 

intendent of  Selling) 

3.  Office  Manager 

4.  Advertising  Manager 


THE  EMPLOYEE,  PAY,  AND  PROMOTIOK  173 

I.  The  Merchandise  Department 

The  Merchandise  Manager 
The  Assistant  Merchandise  Manager 

1.  The  Receiving  Room 

Head  Receiver 

Assistant  Head  Receiver 

Receiving  Clerk 

Examiner 

Bill  Clerk 

Porters 

Handlers 

a.  Retumed-Goods  Department 
Clerk 
Packers 
Assistant  Packers 

2.  The  Marking  Room 

Head  Marker 
Assistant  Head  Marker 
Markers 

3.  The  Stock  Room 

Stock  Man 

Stock  Boys,  or  Assistants 

4.  The  Division  of  Buying 

Buyers 

Assistant  Buyers 
Heads  of  Stock 
.  Office  Clerks 

II.  Superintending  and  Selling 

The  Store  Manager,  or  General  Superintendent 
1.   The  Employment  Office 

The  Employment  Manager 
Assistant  Employment  Manager 
Office  Clerks 


174  BUSINESS  EMPLOYMENTS 

2.  Floor  Superintending 

The  Floor  Superintendent,  or 
Eloor  Manager 
Floor  Clerk 

3.  Selling 

Superintendent  of  Selling 
Selling  Clerks 
Floor  Boys 

4.  The  Educational  or  Welfare  department 

The  Educational  Director,  or 
Welfare  Manager 
Assistant  Workers 

5.  The  Division  of  Expense 

The  Expense  Man 
Assistants 

6.  The  Division  of  Supply  and  Construction 

The  Superintendent  of  Construction 

Purchasing  Agent 

Head  Engineer 

Engineers 

Electricians 

Carpenters 

Painters 

Head  Elevator  Man 

Elevator  Men 

Head  Porter 

Porters 

Night  Superintendent 

Watchman 

Cleaners 

7.  The  Mail-order  Department 

Head  of  the  Mail-Order  Department 

Assistant 

Department  Clerks 

8.  The  Delivery  System 

The  Head  Examiner 
Assistant  Head  Examiner 
Head  Shipper 
Assistant  Head  Shipper 


THE  EMPLOYEE,  PAY,  A^D  PROMOTION     175 

Shippers 

Collectors  of  Bundles 
Bookers,  or  Entry  Clerks 
Billing  Clerks 

III.  The  Office  Department 

The  Treasurer  , 

Assistant  Treasurer 

Attorney  to  the  Firm 

OflBce  Manager 

Assistant  Office  Manager 

Credit  Manager 

Assistant  Credit  Manager 

Head  Auditor 

Assistants 

Secretaries 

Cashiers 

Heads  of  Retail  Divisions 

Heads  of  Payment  Divisions 

Heads  of  Store-Records  Divisions 

Assistants  and  Clerks  in  these  Divisions 

Collectors 

Stenographers 

Operators  of  Typewriters 

Bookkeepers 

Billing  Clerks 

Authorization  Clerks 

Ledger  Clerks 

Office  Boys 

IV.  The  Advertising  Department 

The  Advertising  Manager 

Assistant  Advertising  Manager 

Office  Assistants 

Head  of  the  Art  Department 

Artists 

Head  Window  Dresser 

Assistants 

Head  of  the  Sign  Department 

Sign  Writer 

Assistants 

Errand  Boys 


176  BUSINESS  EMPLOYMENTS 

Positions  not  limited  to  the  Department  Store.  Many 
of  the  positions  enumerated  in  the  four  great  divisions 
of  the  department  store  belong  to  other  kinds  of  retail 
trade  as  well.  Such  are  the  selling  clerk,  the  bookkeeper, 
and  the  shipper.  Among  positions  not  enumerated,  and 
found  in  other  kinds  of  stores,  may  be  mentioned  two, 
the  furrier  and  the  store  detective. 

The  Furrier.  The  furrier  must  be  a  person  skilled  in 
the  making  of  fur  garments,  or  with  such  knowledge  of 
fur  goods  and  their  manufacture  as  to  be  efficient  as 
a  salesman.  The  buying  of  furs  is  done  by  some  buyer 
who  handles  other  lines  as  well.  The  pay,  while  higher 
than  that  of  the  unskilled  employee  in  ordinary  lines, 
varies  according  to  the  skill  of  the  furrier  and  the 
magnitude  of  that  department  in  a  business.  One 
should  prepare  for  this  position  in  the  regular  furrier's 
establishment. 

The  Store  Detective.  Modem  conditions  of  doing 
business,  such  as  the  increased  volume  of  trade  and 
crowded  aisles,  especially  in  the  holiday  season,  compel 
the  large  store  to  protect  itself  from  the  loss  of  goods 
by  theft  thrQugh  the  employment  of  a  store  detective. 
A  very  large  store  has  one  or  more  in  permanent  serv- 
ice; smaller  stores,  at  least  one  in  the  holiday  season. 
The  store  detective  must  have  native  talent  for  detec- 
tive work,  keen  knowledge  of  human  nature,  power  of 
observation,  and  caution.  It  is  an  important  and  well- 
paid  occupation.  Actual  detective  work  is  usually  done 
by  women  ;  the  man  generally  acts  as  chief  of  detectives. 

Additional  Activities.  Some  of  the  very  large  depart- 
ment stores  conduct  certain  branch  lines  of  business  or 


THE  EMPLOYEE,  PAY,  AND  PEOMOTION  177 

manufacture  in  connection  with  their  general  trade,  thus 
reaching  out  into  other  and  smaller  fields  of  enterprise. 
These  lines  include  clothing,  furniture,  kitchen  ware, 
sporting  goods,  pianos,  jewelry,  and  a  few  other  kinds 
of  goods  sold  in  the  general  store. 

Heads  of  Factories.  The  superintendents  and  respon- 
sible heads  of  such  factories,  plants,  or  workrooms  are 
often  selected  from  among  the  employees  of  the  store 
itself,  sometimes  being  the  personal  representatives  of 
the  proprietor.  In  every  case  the  enterprise  exists  as 
an  expansion  of  the  store,  and  must  contribute  to  its 
annual  profits.  The  managers  of  the  branches,  therefore, 
must  be  in  close  touch  with  the  main  business.  The  body 
of  employees,  on  the  other  hand,  is  chiefly  composed  of 
people  who  have  no  connection  with  the  store. 


178 


BUSINESS  EMPLOYMENTS 


TABLE  IX.    NUMBER   AND   PROPORTION   OF   PERSONS   IN 

THE    GENERAL    DIVISIONS    OF    OCCUPATIONS.     NUMBER 

AND  PER  CENT  OF  DISTRIBUTION,  U.  S.  CENSUS,  1910 


Table  8 
Sex  axd  Gexekal  Division  of  Occupatioxs 


Number 
1910 


Per  Cent 
Distri- 
bution 


Both  Sexes 

All  occupations 

Agriculture,  forestry,  and  animal  husbandry 

Extraction  of  minera;ls 

Manufacturing  and  mechanical  industries  .    . 

Transportation 

Trade    

Public  service  (not  elsewhere  classified)     .    . 

Professional  service 

Domestic  and  personal  service 

Clerical  occupations 

Male 

All  occupations 

Agriculture,  forestry,  and  animal  husbandry 

Extraction  of  minerals 

Manufacturing  and  mechanical  industries  .    . 

Transportation 

Trade    

Public  service  (not  elsewhere  classified)      .    . 

Professional  service 

Domestic  and  personal  service 

Clerical  occupations 

Female 

All  occupations 

Agriculture,  forestry,  and  animal  husbandry 

Extraction  of  minerals 

Manufacturing  and  mechanical  industries  .     . 

Transportation 

Trade    :    

Public  service  (not  elsewhere  classified)     .    . 

Professional  service 

Domestic  and  personal  service 

Clerical  occupations 


38,167,336 


100.0 


12,659,203 

33.2 

964,824 

2.5 

10,658,881 

27.9 

2,637,671 

6.9 

3,614,670 

9.5 

459,291 

1.2 

1,663,569 

4.4 

3,772,174 

9.9 

1,737,053 

4.6 

30,091,564 

100.0 

10,851,702 

36.1 

963,730 

3.2 

8,837,901 

29.4 

2,531,075 

8.4 

3,146,582 

10.5 

445,733 

1.6 

929,684 

3.1 

1,241,328 

4.1. 

1,143,829 

3.8 

8,075,772 

100.0 

,807,501 
1,094 
,820,980 
106,596 
468,088 
13,558 
733,885 
,530,846 
593,224 


22.4 

Less  than 

I'o  of  1% 

22.5 

1.3 

5.8 

0.2 

9.1 

31.3 

7.3 


THE  EMPLOYEE,  PAY,  AKD  PEOMOTION     179 


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180 


BUSINESS  EMPLOYMENTS 


TABLE   XI.    DISTRIBUTION   BY    GENERAL    DIVISIONS   OF 

PERSONS    10    YEARS    OF   AGE    AND    OVER    ENGAGED   IN 

GAINFUL  OCCUPATIONS,  BY  DIVISIONS  AND  STATES,  1910. 

TRADE  AND  TRANSPORTATION 


Table  10 

Number 

Per  Cent 
Distribution 

DivisiOK  AND  State 

Total 

Trans- 

persons 

Transpor- 
tation 

Trade 

porta- 

Trade 

occupied 

tion 

United  States     .    . 

38,167,336 

2,637,671 

3,614,670 

69 

9.6 

Geographic  divisions 

New  England     .    . 

2,914,680 

188,988 

310,187 

6.6 

10.6 

Middle  Atlantic     . 

8,208,885 

652,862 

982,279 

8.0 

12.0 

East  North  Central 

7,257,953 

551,880 

768,797 

7.6 

10.6 

West  North  Central 

4,449,043 

347,913 

460,740 

7.8 

10.4 

South  Atlantic  .    . 

6,187,729 

256,840 

317,895 

6.0 

6.1 

East  South  Central 

3,599,695 

143,190 

190,624 

4.0 

6.3 

West  South  Central 

3,507,081 

181,860 

244,748 

6.2 

7.0 

Mountain   .... 

1,107,937 

114,309 

96,493 

10.3 

8.7 

Pacific 

1,934,333 

199,839 

242,907 

10.3 

12.6 

New  England 

Maine 

306,457 

20,679 

26,276 

6.8 

8.6 

New  Hampshire     . 

191,703 

11,196 

14,683 

5.8 

7.6 

Vermont     .... 

144,089 

8,470 

10,837 

6.9 

7.6 

Massachusetts    .    . 

1,631,068 

106,621 

183,519 

6.9 

12.0 

Rhode  Island     .    . 

251,901 

14,352 

27,238 

5.7 

10.8 

Connecticut    .    .    . 

490,462 

28,770 

47,736 

5.9 

9.7 

Middle  Atlantic 

New  York  .... 

4,003,844 

320,480 

545,369 

8.0 

13.6 

New  Jersey    .    .    . 

1,074,360 

93,541 

129,549 

8.7 

12.1 

Pennsylvania     .    . 

3,130,681 

238,841 

307,371 

7.6 

9.8 

East  North  Central 

Ohio 

1,919,056 

152,999 

201,441 

8.0 

10.5 

Indiana 

1,036,710 

76,711 

99,676 

7.3 

9.6 

Illinois 

2,296,778 

194,236 

284,569 

8.5 

12.4 

Michigan    .... 

1,112,998 

70,480 

104,414 

6.3 

9.4 

Wisconsin  .... 

892,412 

58,464 

78,697 

6.6 

8.8 

West  North  Central 

Minnesota  .... 

835,452 

76,230 

86,761 

9.1 

10.4 

Iowa 

826,313 

66,123 

85,087 

7.9 

10.3 

Missouri     .... 

1,288,336 

91,313 

143,608 

7.1 

11.1 

North  Dakota     .    . 

217,418 

13,813 

17,910 

6.4 

8.2 

South  Dakota    .    . 

219,077 

12,292 

19,226 

6.6 

8.8 

Nebraska    .... 

441,114 

36,008 

46,869 

8.2 

10.6 

Kansas 

621,333 

53,134 

61,280 

8.6 

9.9 

THE  EMPLOYEE,  PAY,  AND  PEOMOTION     181 

TABLE    XI.    DISTRIBUTION   BY    GENERAL  DIVISIONS    OF 

PERSONS    10    YEARS    OF    AGE    AND    OVER    ENGAGED    IN 

GAINFUL  OCCUPATIONS,  BY  DIVISIONS  AND  STATES,  1910. 

TRADE  AND  TRANSPORTATION  (Continued) 


Number 

Per  Cent 
Distribution 

Division  and  Statk 

Total 

Trans- 

persons 

Transpor- 
tation 

Trade 

porta- 

Trade 

occupied 

tion 

South  Atlantic 

Delaware    .... 

85,863 

6,013 

7,444 

7.0 

8.7 

Maryland  .... 

541,164 

42,776 

61,646 

7.9 

11.4 

District  of  Columbia 

157,965 

12,441 

20,552 

7.9 

13.0 

Virginia     .... 

795,568 

49,033 

52,324 

6.2 

6.6 

West  Virginia    .    . 

448,490 

32,531 

27,555 

7.3 

6.1 

North  Carolina  .    . 

947,839 

29,601 

39,028 

3.1 

4.1 

South  Carolina  .    . 

728,627 

17,402 

25,710 

2.4 

3.6 

Georgia 

1,160,126 

46,092 

61,430 

4.0 

5.3 

.Florida 

322,087 

20,951 

22,206 

6.5 

6.9 

East  South  Central 

Kentucky  .... 

866,980 

42,116 

60,281 

4.9 

7.0 

Tennessee  .... 

855,546 

43,659 

59,189 

5.1 

6.9 

Alabama    .... 

997,524 

33,749 

42,743 

3.4 

4.3 

Mississippi      .    .    . 

•  879,645 

23,666 

28,411 

2.7 

3.2 

West  South  Central 

Arkansas    .... 

672,403 

24,624 

31,372 

3.7 

4.7 

Louisiana   .... 

679,183 

40,754 

47,896 

6.0 

7.1 

Oklahoma  .... 

598,629 

32,629 

49,754 

5.5 

8.3 

Texas 

1,556,866 

83,843 

115,726 

5.4 

7.4 

Mountain 

Montana     .... 

178,747 

23,978 

13,280 

13.4 

7.4 

Idaho     

131,088 

11,833 

10,586 

9.0 

8.1 

.Wyoming  .... 

73,606 

10,839 

3,927 

14.7 

5.3 

Colorado    .... 

338,724 

32,088 

39,139 

9.5 

11.6 

New  Mexico  .    .    . 

121,497 

9,413 

6,957 

7.7 

5.7 

Arizona      .... 

87,825 

8,698 

6,230 

9.9 

7.1 

Utah 

131,540 

12,322 

12,979 

9.4 

9.9 

Nevada  

44,910 

5,138 

3,395 

11.4 

7.6 

Pacific 

Washington    .    .    . 

521,501 

60,525 

56,923 

11.6 

10.9 

Oregon 

305,164 

35,021 

34,386 

11.5 

11.3 

California  .... 

1,107,668 

104,293 

151,598 

9.4 

13.7 

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11 


PAET  THREE 

FINANCE  AS  ILLUSTKATED  BY  BANKING 


PART  THREE 

CHAPTER  XIH 
BANKING 

The  Business :  its  Nature,  Divisions,  and  Future. 
There  are  six  kinds  of  banking  iastitutions  in  the 
United  States, — federal  reserve  banks,  national  banks, 
state  banks,  trust  companies,  savings  banks,  and  build- 
ing and  loan  associations.  Besides  these  there  are  many- 
private  firms  of  bankers,  and  stock  and  bond  brokerage 
houses,  whose  business  is  in  many  respects  closely  allied 
to  that  of  the  banks. 

The  essential  functions  of  a  bank  are  to  receive 
deposits  and  make  loans.  There  are  also  a  number  of 
other  services  performed  by  different  kinds  of  banks, 
such  as  issuing  notes  and  dealing  in  domestic  and 
foreign   exchange. 

National  banks  derive  their  charters  from  the  national 
government.  They  serve  as  depositories  for  public  funds 
and  for  individuals  and  firms.  They  grant  credit  and  in 
large  measure  furnish  a  medium  of  exchange  hi  the  form 
of  checks,  as  well  as  that  of  currency,  which  they  are 
allowed  to  issue  under  the  National  Bank  Act.  The 
national  bank  is  a  commercial  bank  and  loans  largely 
to  commercial   interests.     Sometimes  it  has  a  savings 

department. 

187 


188  BUSINESS  EMPLOYMENTS 

State  banks  are  essentially  the  same  in  the  character 
of  their  business  as  the  national  banks,  except  that  they 
do  not  issue  notes.  They  are  chartered  by  the  state  and 
regulated  by  state  officials. 

The  trust  company  receives  its  charter  fropa  the  state 
in  which  it  is  located.  It  can  do  all  that  the  national 
bank  can,  except  to  issue  currency.  It  receives  money 
on  deposit,  makes  loans,  grants  credits,  acts  as  trustee 
for  individuals  and  estates  and  as  transfer  agent  for 
corporations.  Some  trust  companies  have  savings  de- 
partments. 

The  savings  bank,  also,  receives  its  charter  from 
the  state.  In  Massachusetts  and  New  York  all  savings 
banks  are  mutual,  the  deposits  being  the  capital  of 
the  bank  and  not  subject  to  check.  Investments  of 
savings  banks  are  all  limited  by  public  statutes,  and 
first  mortgage  on  real  estate  is  the  preferred  form  of 
security.  Mutual  savings  banks  are  in  the  nature  of 
philanthropic  institutions. 

The  building  and  loan  association  is  chartered  by  the 
state.  It  is  the  most  democratic  form  of  banking.  Its 
distinctive  feature  is  the  compulsory  system  of  monthly 
payments  by  depositors,  this  being  its  sole  forni  of  de- 
posit. Investments  are  almost  wholly  in  first  mortgages 
on  real  estate.  In  INIassachusetts  the  building  and  loan 
associations  are  called  cooperative  banks. 

The  stock  and  bond  business  is  carried  on  without 
incorporation,  usually  by  brokerage  firms  which  are 
ordinary  partnerships.  Members  of  a  stock  exchange 
deal  in  railroad  and  industrial  stocks  and  bonds  and 
in   town   and   city   bonds. 


BANKING  189 

Under  the  Federal  Reserve  Act  of  1913  there  have 
been  established  twelve  federal  reserve  banks,  which 
began  business  simultaneously  on  November  16,  1914. 
These  banks  are  similar  in  character  of  organization 
to  other  banks,  with  the  exception  that  their  capital  is 
subscribed  by  banks  and  that  their  business  is  only  with 
banks.  National  banks  and  state  institutions  that  may 
avail  themselves  of  the  privilege  of  joining  the  system 
are  obliged  to  deposit  a  portion  of  their  reserve  moneys 
in  these  banks. 

The  federal  reserve  banks  will  make  the  commercial 
notes  invested  in  by  its  members  available  for  reserve 
purposes  through  their  rediscounting  function.  They 
will  also  issue  federal  reserve  bank  notes  which  in  time 
will  probably  take  the  place  of  the  notes  now  issued  by 
the  national  banks,  and  they  will  become  clearing  houses 
for  checks  on  banks  throughout  the  country. 

While  the  new  system  modifies  the  national  banking 
system,  it  will  not  materially  change  the  work  of  the 
bank  employee.  It  will,  rather,  in  some  degree  increase 
the  avenues  of  opportunity  to  the  efficient  and  ambitious 
young  man  in  the  banking  business. 

The  physical  conditions  of  the  occupation  are  of  the 
highest  grade.  A  possible  danger  is  that  of  the  mes- 
senger service,  on  the  street  and  in  carrying  large  sums 
of  money.  There  is  great  moral  danger  to  young  men 
on  the  speculative  side  of  the  stock  and  bond  business, 
and,  as  a  rule,  no  broker  is  allowed  to  receive  orders 
from  a  clerk  of  another  firm. 

There  is  keen  competition  among  national  banks 
and  trust  companies  in  bidding  for  deposits,  and  in  the 


190  BUSmESS  EMPLOYMENTS 

stock  and  bond  business  for  speculation  and  invest- 
ment. There  is  little  competition  among  savings  banks 
and  cooperative  banks.  These  have  their  lists  of  de- 
positors, and  interest  rates  are  controlled  by  business 
conditions. 

The  business  of  the  future  in  all  lines  will  be  excel- 
lent, because  of  the  vital  connection  of  the  banking 
business  with  the  money  system  of  the  country,  and 
with  all  lines  of  activity  in  the  financial  and  industrial 
world. 

The  Board  of  Directors.  The  management  of  commer- 
cial banks  and  trust  companies  is  vested  in  a  board  of 
directors  elected  by  the  shareholders.  The  usual  qualifi- 
cations for  a  director  are  that  he  shall  be  a  citizen  of 
the  United  States  and  the  owner  of  at  least  ten  shares 
of  the  stock  of  the  bank  or  trust  company,  free  from 
all  encumbrance.  In  the  case  of  mutual  savings  banks 
these  officers  are  called  trustees,  and  are  elected  by  the 
corporation. 

Executive  Officers.  The  chief  executive  officers  of  a 
bank  are  generally  the  president,  vice  president,  cashier, 
and  assistant  cashier.  In  large  banks  there  may  be  more 
than  one  vice  president  and  more  than  one  assistant 
cashier.  In  trust  companies  and  savings  banks  the  title 
of  the  officer  whose  duties  correspond  to  those  of  the 
cashier  is  usually  "  treasurer." 

The  President  and  Vice  President.  The  president  is 
the  chief  executive  of  the  board  of  directors.  He  has 
general  supervision  of  the  business  of  the  bank  in  its 
various  departments.  He  determines  or  joins  with  other 
officers  in  determining  loans  and  investments  and  other 


BANKING  191 

matters  of  great  importance  in  the  business  of  the  bank. 
The  vice  president  is  usually  authorized  to  act  in  the 
absence  or  inability  of  the  president.  Otherwise  he 
performs  such  duties  as  are  assigned  to  him  by  the 
directors. 

The  Cashier  and  Assistant  Cashier.  The  cashier  is 
usually  the  chief  executive  officer  of  a  bank  in  the 
routine  of  its  management.  He  is  generally  made  re- 
sponsible for  all  the  moneys,  funds,  and  valuables  of 
the  bank.  He  signs  all  contracts,  checks,  drafts,  and 
circulating  notes.  The  assistant  cashier  performs  duties 
assigned  to  him  by  the  directors,  especially  in  the  way 
of  relieving  the  cashier  of  smaller  responsibilities. 

Departments  of  Bank  Work.  The  departments  of  a 
bank  are  made  up  of  the  following  divisions:  paying, 
receiving,  discount  or  note  division,  collections  and  cor- 
respondence, loans  and  discounts,  bonds  and  stocks, 
foreign  exchange,  credit,  information,  bookkeeping,  and 
advertising. 

These  departments  cover  in  a  general  way  the  work  that  is 
constantly  going  on  within  a  bank  under  the  cashier  as  the 
executive  head.  There  may  be  a  chief  clerk  under  him  who  has 
supervision  of  the  clerical  force,  giving  them  general  instructions 
and  guidance,  and  settling  points  of  doubt  on  matters  of  detail 
about  which  the  cashier  need  not  be  troubled.  There  are  assist- 
ant tellers  and  clerks,  messengers,  porters,  and  various  employees 
whose  number  and  duties  are  determined  by  the  volume,  charac- 
ter, and  variety  of  the  business  of  the  particular  bank.  Though 
departments  may  be  clearly  defined  in  their  main  function,  they 
come  in  contact  at  many  points,  and  there  is  much  passage  to 
and  fro  between  them.^ 

1  The  Modern  Bank,  by  A.  K.  Fisk.  D.  Appleton  and  Company, 
New  York,  1904. 


192  BUSINESS  EMPLOYMENTS 

In  the  small  bank  some  of  these  departments  may  be 
consolidated,  but  the  duties  remain  the  same  even  when 
performed  by  fewer  persons. 

The  Paying  Teller.  The  paying  teller  is  provided  with 
money  to  meet  the  ordinary  demands  of  a  day's  business. 
When  a  check,  usually  drawn  on  the  bank  itself,  is  pre- 
sented for  payment,  the  paying  teller  examines  it  as  to 
genuineness  of  signature  and  as  to  the  amount  called 
for,  and  satisfies  himself  in  regard  to  the  identity  of  the 
person  presenting  the  check.  He  stamps  checks  thus 
paid  and  enters  them  in  a  memorandum  book.  At  the 
close  of  the  day  he  foots  up  his  entries  and  deducts  the 
amount  from  his  cash  on  hand  in  the  morning.  He 
makes  a  final  statement  of  the  day's  transactions,  turn- 
ing it  over  to  the  general  bookkeeper. 

The  Receiving  Teller.  The  receiving  teller  is  the  in- 
dividual with  whom  customers  deposit  money  or  other 
funds.  He  sees  that  a  customer's  deposit  slip  shows 
clearly  the  amount  deposited,  and  enters  the  amount  in 
the  pass  book  of  the  depositor.  He  also  enters  the  name 
of  the  depositor  and  the  amount  in  a  blank  book,  which 
must  contain  all  the  day's  transactions  and  agree  with 
the  amount  of  cash  deposited.  He  assorts  each  day's 
deposits,  doing  up  currency  in  bags  or  packages  and 
stamping  and  listing  checks.  In  a  very  large  bank  the 
receiving  teller  acts,  as  receiver  only ;  the  details  of  the 
division  are  attended  to  by  other  clerks  or  departments. 

Discount  Clerk.  The  duty  of  the  discount  clerk  is  to 
number  and  enter  in  a  book,  called  the  discount  register, 
all  loans  and  discounts  made  by  the  bank.  He  keeps  a 
memorandum  of  all  payments  upon  loans  and  discounts, 


r 


BANKING  193 

at  the  close  of  the  day  giving  a  statement  to  the  general 
bookkeeper  and  turning  over  all  money  received  to  the 
paying  teller.  In  some  banks  these  duties  are  performed 
by  the  note  teller. 

Collection  Clerk.  The  collection  clerk  has  charge  of 
all  time  drafts  and  notes,  not  payable  on  demand,  turn- 
ing them  over  to  the  note  teller  or  corresponding  clerk 
just  previous  to  maturity. 

Corresponding  Clerk.  The  corresponding  clerk  keeps 
a  record  of  all  items  to  be  sent  away  by  mail,  and 
sends  them  as  time  for  payment  approaches.  He  re- 
ceives remittances  and  passes  them  to  the  discount 
clerk  or  note  teller. 

Mail  Clerk.  The  mail  clerk  opens  the  mail,  checks  off 
the  contents  of  letters,  and  turns  over  all  papers  to  the 
proper  officials  or  departments.  At  the  close  of  the  day's 
business  he  sees  that  remittances  and  collections  from 
individuals  and  banks  are  acknowledged. 

Exchange  Clerk.  The  exchange  clerk  fills  out  checks 
or  drafts  on  other  banks  or  bankers,  has  them  signed 
by  the  proper  officer,  and  receives  and  turns  over  to 
the  proper  teller  all  money  or  checks  taken  in  payment. 

The  Bookkeeping  Department.  In  the  banking  busi- 
ness it  is  especially  necessary  that  all  transactions  shall 
be  recorded  in  a  clear,  simple,  and  systematic  manner. 
Every  precaution  must  be  taken  to  guard  against  fraud 
or  dishonesty  from  any  source.  A  modern  bank  is  com- 
pelled to  do  many  things  involving  much  clerical  labor 
and  expense  and  resulting  in  a  very  elaborate  book- 
keeping system.  In  an  especial  sense  the  business  of  a 
bank  rests  upon  the  efficiency  of  its  bookkeeping  force. 


194  BUSINESS  EMPLOYMENTS 

The  Head  Bookkeeper.  The  head  bookkeeper  has  charge 
of  this  important  division  of  the  work.  He  must  be  a 
skilled  accountant,  have  executive  ability,  and  under- 
stand thoroughly  all  details  of  the  bank's  activities. 

The  General  Bookkeeper.  The  "  general  bookkeeper  " 
is  the  term  applied  in  banks  to  the  bookkeeper  who  keeps 
the  "  general  ledger  "  of  the  bank,  upon  which,  simply 
and  accurately  recorded,  appear  condensed  results  of  all 
transactions,  and  the  resources  and  liabilities  of  the 
business  under  their  chief  divisions.  He  keeps,  also,  a 
separate  account  for  every  bank  with  which  business  is 
done,  a  profit  and  loss  account,  and  a  "  general  state- 
ment" book  in  which  balances  are  shown.  He  must 
also  be  a  reliable  and  skilled  accountant. 

The  Auditor.  In  large  banks  there  is  an  auditor,  who 
reviews  accounts,  vouchers,  and  records  of  receipts  and 
expenditures,  and  is  in  direct  charge  of  the  accounting 
department. 

Department  of  Advertising.  A  recent  departure  in 
some  of  the  larger  financial  institutions  is  the  estab- 
lishment of  an  advertising  department  which  attends  to 
all  the  publicity  work  of  the  various  departments.  By 
the  formation  of  such  a  division  better  results  can  be 
obtained  than  when  this  work  is  handled  by  an  officer 
in  the  bank  or  by  some  outside  agency. 

The  work  of  this  department  consists  in  bringing  to 
the  attention  of  the  public  the  various  ways  in  which 
a  financial  institution  can  serve  it.  The  methods  em- 
ployed in  doing  this  are  by  advertising  in  the  news- 
papers and  financial  magazines,  by  sending  out  special 
literature,  and  by  personal  solicitation. 


BANKmG  195 

The  Advertising  Manager  and  his  Assistants.  The 
advertising  manager,  with  a  corps  of  assistants,  gives 
his  entire  time  to  the  planning  and  carrying  out  of 
ways  and  means  of  securing  new  business. 

The  employees  of  such  a  division  necessarily  must 
have  a  general  idea  of  the  details  of  the  various  depart- 
ments in  order  that  they  may  be  able  to  explain  to  the 
public,  either  personally  or  tlirough  the  channels  men- 
tioned above,  any  of  the  departments  in  an  intelligent 
manner.  Therefore  the  men  selected  for  this  work  are 
generally  those  who  have  had  experience  in  several 
departments. 

Pay,  Positions,  and  Opportunities.  In  the  lowest  posi- 
tion in  banking,  that  of  errand  boy,  very  young  boys 
receive  |4  and  $5  a  week.  For  regular  messenger  serv- 
ice the  pay  begins  at  |6  a  week  or  |300  a  year, 
increasing,  on  an  average,  at  the  rate  of  |100  a  year. 
Young  men  as  check  tellers,  clerks,  bookkeepers,  and 
bond  salesmen  receive  from  |800  to  flOOO  a  year.  The 
average  bank  employee  receives  about  fllOO  a  year. 
Tellers,  who  must  be  responsible  and  able  men  usually 
of  thirty  years  or  over,  have  salaries  ranging  from 
12200  upwards. 

Savings  banks,  being  comparatively  free  from  com- 
petition and  more  conservative  in  form,  pay  somewhat 
higher  salaries  and  offer  a  better  future  to  one  who 
must  remain  in  the  ranks  of  the  business. 

Bank  officers  receive  high  salaries  because  of  the 
responsibilities  involved  and  the  abilities  called  for. 
Officers  and  heads  of  departments  in  banks  are  not 
always    taken    from   the    employees ;    they    are    often 


196  BUSINESS  EMPLOYMENTS 

selected  by  the  directors  from  their  acquaintance  in 
the  business  world. 

The  Boy;  Qualities  and  Training  Required.  Rarely 
are  boys  employed  in  the  banking  industry  under  six- 
teen years,  which  is  the  more  general  age  for  entering. 
Some  banks  will  not  employ  them  under  nineteen  years 
of  age  on  account  of  the  great  responsibihty  of  the 
messenger  service.  Boys  should  be  gentlemanly,  neat- 
appearing,  intelhgent,  honest,  businesslike,  and  able  to 
concentrate  their  minds  upon  their  daily  work  and  to 
keep  silent  in  regard  to  the  bank's  business  when  out- 
side the  bank. 

The  ordinary  high-school  education  is  the  general  re- 
quirement for  banking.  Some  boys  enter  the  business 
without  completing  the  high-school  course,  but  are  con- 
sequently often  unable  to  make  proper  advancement. 
Courses  in  business  schools  are  desirable,  and  one  should 
have  fair  training  in  mathematics  and  bookkeeping  and 
be  a  good  penman.  In  one  bank  investigated,  having 
one  hundred  ninety-five  employees,  there  were  but  three 
college  graduates,  one  being  the  cashier.  Banking  men 
wish  that  this  condition  were  different,  but  know  that  it 
is  best  for  those  who  enter  the  occupation  to  do  so 
during  their  minority. 

SUGGESTIONS  FROM  A  BANKER  TO  A  BOY  WHO  WISHES 
TO  ENTER  THIS  OCCUPATION 

A  boy  who  is  to  enter  a  bank  should  be  obliging,  punctual, 
and  have  a  pleasing  personality.  Things  of  prime  importance, 
also,  are  neatness  and  accuracy  in  figures  and  in  handwriting. 
One's  penmanship  should  be  legible  and  rapid. 


BANKING  197 

Naturally  the  boy  in  a  bank  should  have  good  habits.  The  bank 
clerk  is  expected  to  have  a  high  order  of  behavior ;  he  jnust  not 
frequent  saloons  and  pool  rooms,  as  to  do  so  would  endanger  his 
own  standing  or  that  of  the  firm  by  which  he  is  employed. 

If  you  feel  that  you  have  these  qualities  and  can  meet  these 
conditions,  you  may  safely  enter  the  banking  business.  It  is  dif- 
ficult to  obtain  good  bank  clerks  and  faithful  and  efficient  bank 
officers  in  the  great  cities  to-day. 

About  March  the  first  each  year  banks  begin  to  increase  their 
force  on  account  of  the  coming  summer  vacations  of  their  em- 
ployees. Banking  business  is  so  heavy  and  so  continuous  that 
new  boys  and  young  men  must  be  taken  in  early  enough  to  learn 
the  duties  of  those  whose  places  they  will  fill  during  vacation 
time.  Of  the  new  employees  thus  added  annually  those  who 
show  marked  ability  are  retained.  The  boy  also  of  fair  ability 
and  absolute  trustworthiness  is  usually  provided  for. 

Banks  very  generally  also  employ  boys  from  the  public 
schools  as  messengers  during  the  summer  vacation. 

In  applying  for  a  position  at  a  bank  you  should  be  able  to 
refer  to  two  or  three  good  men  as  to  your  character.  If  nothing 
comes  from  the  application,  keep  following  it  up,  for  the  bank 
wants  the  boy  or  man  who  wants  the  place,  and  many  apply. 
Take  whatever  is  offered  in  position  or  in  pay,  if  you  want 
this  occupation.  You  will  be  offered  what  others  are  receiving 
in  the  same  place. 

You  should  know,  if  possible,  upon  entering  a  bank  the 
names,  nature,  and  principal  features  of  ordinary  business  docu- 
ments, such  as  notes,  checks,  and  bills,  and  something  of  com- 
mercial law.  Further  knowledge  of  business  documents  will 
come  in  your  service  in  the  bank.  Your  mathematics  may  well 
include  practice  in  algebraic  problems.  Language  requirements 
are  simple,  extending  only  to  the  ordinary  use  of  English.  If 
you  obtain  work  in  the  summer  vacation,  or  your  service  in  the 
bank  allows,  you  should  later  take  such  courses  of  study  as  arfe 
offered  on  banking  by  schools  of  administration  and  finance. 
You  will  thus  become  of  greater  service  to  the  firm  by  which 
you  are  employed,  and  will  more  surely  place  yourself  in  line  for 
advancement. 


198  BUSINESS  EMPLOYMENTS 

The  Annual  Report  of  the  Comptroller  of  the  Currency. 
The  following  tables  are  drawn  from  the  annual  reports 
of  the  Comptroller  of  the  Currency,  who  is  charged  with 
the  duty  of  chartering  the  national  banks  and  of  super- 
vising their  operation,  and  with  the  execution  of  the 
banking  laws  of  the  United  States.  He  makes  an  an- 
nual report  to  Congress  which  contains  elaborate  statis- 
tical tables  showing  the  condition  of  national  banks  for 
the  year  covered  by  the  report  and  giving  comparable 
figures  for  previous  years. 

The  Comptroller  obtains  and  publishes  in  his  annual 
reports  information,  also,  in  regard  to  the  various  bank- 
ing institutions  organized  under  the  authority  of  the 
different  states  and  territories.  This  information  is  ob- 
tained from  state  officials  and  other  authentic  sources, 
and  is  fairly  complete  for  incorporated  institutions 
which  are  generally  under  public  supervision.  Private 
banks  and  bankers  are  supervised  in  but  few  states, 
however,  and  the  reports  of  the  Comptroller  contain 
statistics  for  only  about  one  fourth  of  such  banks  in  the 
country.  The  total  returns  published  by  the  Comp- 
troller each  year  represent  about  eighty-three  per  cent 
of  the  banking  capital  of  the  United  States. 


BANKIIsrG 


199 


Statistics  compiled  from  the   Reports   of  the 
United   States   Comptroller  of  the    Currency 

FOR    1900,    1905,   AND    1910 
A.   GROWTH  IN  NUMBERS  OF  BANKS,  1900,  1905,  AND  1910 


Kinds  of  Banks 

Number 
IN  1900 

1905 

1910 

Per  Cent  of 

Increase, 

1900-1910 

National  banks 

State  banks 

Loan  and  trust  companies     .    . 

Savings  banks 

Building  and  loan  associations  i 

Private  banks 

(The  number  reporting  only) 

3,617 
4,369 

290 
1,002 
5,485 

989 

5,858 
7,794 
683 
1,237 
5,265 
1,028 

7,218 
9,839 
1,091 
1,759 
5,737 
934 

99.6 

125.2 

276.2 

75.5 

4.6 

0.62 

Total  numbers 

15,752 

21,865 

26,578 

68.7 

B.    GROWTH  OF  NATIONAL  BANKS  FROM  1900  TO  1910 

Number   of   National   Banks   in   Existence,  Authorized 

Capital  Stock,  Bonds  on  Deposit  to  secure  Circulation, 

Circulation  secured  by  Bonds  and  by  Lawful  Money, 

ON  March  14,  1900,  October  31,  1905,  and  1910 


March  14, 
1900 


October 
31,1905 


October  31, 
1910 


Per  Cent  of 

Increase, 

1900-1910 


Number  of  banks  .  . 
Authorized  capital  . 
Bonds  on  deposit  .  . 
Circulation,  on  bonds 
Circulation,  on  lavrf  ul 

money 

Total  circulation     .    . 


3,617 

$616,308,095 

244,611,570 

216,374,795 

38,027,935 
254,402,730 


5,858 

$812,026,075 

494,017,850 

489,937,806 

34,470,443 
524,408,249 


7,218 

$1,015,897,135 

694,926,070 

691,335,845 

33,538,463 

724,874,308 


99.6 

64.8 

184.1 

219.5 

13.42 
184.9 


^  This  includes  cooperative  banks  in  Massachusetts. 


2  Decrease. 


200 


BUSINESS  EMPLOYMENTS 


C.    CHIEF  ITEMS  OF  THE  AGGREGATE  RESOURCES  AND 
LIABILITIES  OF  NATIONAL  BANKS  IN  1900,  1905,  AND  1910 


Resources 

1900 

1905 

1910 

Loans  and  discounts 

Bonds  

Cash 

$2,706,534,643.35 
508,061,920.00 
500,957,169.06 

$4,016,735,497.99 
561,776,080.00 
622,092,079.89 

$5,407,160,637.98 
737,477,181.00 
851,685,037.13 

Total  resources     .    . 

$5,412,089,692.52 

$7,563,155,823.55 

$9,826,181,452.36 

Liabilities 

1900 

1905 

1910 

Capital  stock     .   .   . 
Surplus  fund  .... 
Individual  deposits . 

$632,353,405.00 

262,387,647.59 

2,623,997,521.88 

$808,328,658.00 

420,785,055.00 

3,989,522,834.51 

$1,002,735,123.25 

648,268,369.97 

5,145,658,367.65 

Total  liabilities     .   . 

$5,412,089,692.52 

$7,563,155,823.55 

$9,826,181,452.36 

D.   CHIEF  ITEMS  OF  THE  AGGREGATE  RESOURCES  AND 
LIABILITIES  OF  STATE  BANKS  FOR  1910 


Resources 

1910 

Liabilities 

1910 

Loans  and  dis- 
counts .... 

Bonds  

Cash.   ..... 

$2,406,000,000.00 
303,600,000.00 
240,580,836.12 

Capital  stock   .   .    . 

Surplus 

Individual  deposits 

$435,822,833.58 

187,571,005.45 

2,727,926,986.03 

Total  resources . 

$3,694,958,766.81 

Total  liabilities  .   . 

$3,694,958,766.81 

E.   CHIEF  ITEMS  OF  THE  AGGREGATE  RESOURCES  AND 
LIABILITIES  OF  LOAN  AND  TRUST  COMPANIES  IN  1910 


Resources 

1910 

Liabilities 

1910 

Loans  and  dis- 
counts .... 

Bonds   

Cash 

$2,565,729,106.24 

1,000,263,549.84 

260,129,890.91 

Capital  stock  .   .   . 

Surplus 

Individual  deposits 

$367,333,556.37 

432,718,233.98 

3,073,122,706.20 

Total  resources  . 

$4,216,850,061.52 

Total  liabilities  .   . 

$4,216,850,061.52 

BANKING 


201 


F.   NUMBER  OF  SAVINGS  BANKS  IN  THE  UNITED  STATES, 
NUMBER  OF  DEPOSITORS,  AMOUNT  OF  SAVINGS  DEPOSITS, 
AVERAGE  AMOUNT  DUE  EACH  DEPOSITOR,  AND  AVER- 
AGE PER  CAPITA  IN  THE  UNITED  STATES,  1900-1910 


Average 

Year 

Number 
OF  Banks 

Number 
OF  De- 
positors 

Deposits 

AVERACxE 

Due  Each 
Depositor 

PER 

Capita 

IN  THE 

United 
States 

1900  .    .    . 

1002 

6,107,083 

$2,449,547,885 

$401.10 

$31.78 

1901  . 

1007 

6,358,723 

2,597,094,580 

408.30 

33.45 

1902  . 

1036 

6,666,672 

2,750,177,290 

412.53 

34.89 

1903  . 

1078 

7,035,228 

2,935,204,845 

417.21 

36.52 

1904  . 

1157 

7,305,443 

3,060,178,611 

418.89 

37.52 

1905  . 

1237 

7,696,229 

3,261,236,119 

423.74 

39.17 

1906  . 

1319 

8,027,192 

3,482,137,198 

433.79 

41.13 

1907  . 

1415 

8,588,811 

3,690,078,945 

429.64 

42.87 

1908  . 

1453 

8,705,848 

3,660,553,945 

420.47 

41.84 

1909  . 

1703 

8,831,863 

3,713,405,710 

420.45 

41.75 

1910  . 

1759 

9,142,908 

4,070,486,246 

445.20 

45.05 

Other  Forms  of  Business.  The  great  lines  of  business 
employments  treated  in  the  several  parts  of  this  book 
are  inclusive  and  typical  of  the  few  forms  not  yet  named 
or  considered  at  length.  The  difference,  for  instance, 
between  wholesale  and  retail  trade  is  plain.  The  re- 
tailer sells  to  the  consumer ;  the  wholesaler,  to  the  mid- 
dleman, jobber,  or  to  the  retailer.  Wholesale  business 
offers  fewer  positions  than  retail,  but  in  general  these 
positions  are  more  permanent  and  more  highly  paid. 
Business  ability,  however,  in  all  lines  is  sought  after 
and  usually  adequately  rewarded.  Along  with  the  man- 
ufacturing and  mechanical  pursuits  we  have  mining, 
quarrying,  and  fishing.  Agriculture,  also,  is  classed  with 
the  same  group,  as  in  the  statistical  tables  presented  in 


202  BUSINESS  EMPLOYMENTS 

this  volume.  It  stands  at  the  head  of  the  Hst,  as  shown 
in  dair3dng,  in  the  number  of  persons  employed  upon 
its  business  side.  In  connection  with  manufacture  we 
have  a  quite  distinct  group  called  the  building  trades, 
with  the  following  major  divisions,  carpentering,  ma- 
sonry, painting,  paper  hanging,  plastering,  plumbing, 
roofing  and  slating,  each  with  its  offices  and  business 
employees.  Other  occupations,  also,  whose  nature  is 
chiefly  that  of  business,  are  presented  in  the  statistics 
at  the  end  of  Part  II.  Some  of  these  are  real  estate; 
life,  property,  or  other  insurance ;  private  and  public 
corporations,  such  as  the  railroad  and  street  railway, 
telegraph  and  telephone  ;  the  great  field  of  the  business 
side  of  institutional  work ;  public  service  and  civic 
service,  such  as  the  business  of  towns  and  cities,  of 
county  government  and  the  state,  and  of  the  national 
government. 


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Vol.  6,  Organization  of  a  Factory. 

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American  Industries.    New  York. 

American  Lumberman.    Chicago. 

American  Motor  News.    San  Francisco. 

American  Pressman.    Cincinnati,  Ohio. 

American  Silk  Journal.    New  York. 

American  Stone  Trade.    Chicago. 

American  Sugar  Industry.    Chicago. 

American  Wool  and  Cotton  Reporter.   Boston. 

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Bakers'  and  Confectioners'  Review.    Los  Angeles,  Cal. 

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209 


210  BUSINESS  EMPLOYMENTS 

Craftsman.    New  York. 

Cycle  and  Automobile  Trade  Journal.    Philadelphia. 

Electric  Journal.    Pittsburgh,  Pa. 

Electrical  World.    New  York. 

Engineering  and  Mining  Journal.   New  York. 

Factory.    Chicago. 

Fibre  and  Fabric.    Boston. 

Furniture  Industry.   Evansville,  Ind. 

Implement  Trade  Journal.   Kansas  City,  Mo. 

Industrial  World.    Pittsburgh,  Pa. 

Inland  Printer.    Chicago. 

Iron  Age.   New  York. 

Keith's  Magazine.   Minneapolis,  Minn. 

Live  Stock  and  Dairy  Journal.    Sacramento,  Cal. 

Merchants'  and  Manufacturers'  Journal.   Baltimore,  Md. 

Merchant's  Trade  Journal.    Des  Moines,  Iowa. 

Metal  Industry.   New  York. 

Metal  Worker,  Plumber,  and  Steam  Fitter.    New  York. 

Mid-west  Industrial  Journal.    Shoshoni,  Wyo. 

Mining  World.    Chicago. 

Modern  Methods.   Detroit,  Mich. 

Motor  Age.   Chicago. 

National  Builder.   Chicago. 

News  Bureau.   Boston. 

Practical  Dairyman.    Paterson,  N.  J. 

Printers'  Ink.    New  York. 

Progressive  Retailer.    Atlanta,  Ga. 

Public  Service.    Chicago. 

Railroad  Trainman.    Cleveland,  Ohio. 

Railway  Carmen's  Journal.    Kansas  City,  Mo. 

Southwestern  Grain  and  Flour  Journal.    Wichita,  Kan. 

System.   Chicago. 

Textile  Manufacture.    Charlotte,  N.C. 

The  Business  Educator.    Columbus,  Ohio. 

The  Business  Monthly.    Pittsburgh,  Pa. 

The  Business  World.    New  York. 

The  Drygoodsman  and  General  Merchant.    St.  Louis,  Mo. 

The  Financial  Age.    New  York. 


BUSINESS  AND  TKADE  JOURNALS        211 

The  Journal  of  Accountancy.    New  York. 

The  Nation's  Business.    Chamber  of  Commerce  of  the  United 

States  of  America.    Washington,  D.C. 
The  New  England  Grocer  and  Tradesman.   Boston. 
The  Salesman.    San  Francisco. 
The  Trade  Review.    New  York. 
Typographical  Journal.   Indianapolis,  Ind. 
The  Young  Man  in  Business.    Richmond,  Va. 
Wall  Street  Journal.    New  York. 
Western  Trade  Journal.    Chicago. 
For  special  articles  consult  indexes  to  periodical  literature. 


INDEX 


Accountant,  the,  12,  194 

Accounting  room,  the,  139 

Advance  information,  depart- 
ment of,  74  ;  positions  in  de- 
partment of,  75 

Advancement,  actual  cases  of, 
141,   169-171 

Advertising,  119  ;  general,  54  ; 
local,  55 

Advertising  department,  the,  143, 
194 ;  positions  in,  56,  144 ;  na- 
ture of,  143  ;  the  modern  trend 
of,  143 ;  divisions  in,  144 ;  dia- 
gram of,  145 ;  important  assist- 
ant positions  in,  145  ;  the  boy 
in,  146 ;  work  producing  ad- 
vertising men,  147 

Advertising  manager,  the,  56, 
195  ;   assistant,'  56 

Application  forms,  26-28 

Art  department,  the,  55 

Assistant  to  the  president,  18 

Attendant  business,  enlargement 
of,  7 

Auditing  department,  the,  139 

Auditor,  the,  14,  15,  194 

Balance  sheet,  a  typical,  46, 48,  49 
Bank  work,  departments  of,  191 
Banking,  187-202  ;  nature,  divi- 
sions, and  future  of,  187-190  ; 
pay,  positions,  and  opportuni- 
ties in,  195  ;  the  boy  in,  quali- 
ties and  training  required,  196 ; 
suggestions  from  a  banker  to  a 
boy  who  wishes  to  enter,  196 
Bibliography,  203-208 
Bookkeeper,  the,  141  ;  the  head, 

194  ;  the  general,  194 
Bookkeeping  department,  the,  in 
manufacture,  45  ;  positions  in. 


46  ;  in  the  department  store, 
141  ;  in  banking,  193 

Building  and  loan  association,  187 

Bundle  boy,  the,  130 

Business,  stock  and  bond,  188, 
190  ;  other  forms  of,  201 

Business  and  trade  journals,  209- 
211 

Business  departments  in  fac- 
tories, other,  67 

Business  offices,  training  and 
promotion  in,  69 

Buyer,  the,  124  ;  assistant,  125 

Buying,  the  division  of,  123 ;  po- 
sitions in  the  division  of,  124 

Cash  boy,  the,  130 

Cashier,  the,  191  ;  assistant,  191 

Cashier's  office,  the,  139 

Census,  the  Thirteenth,  91 ;  ear- 
lier censuses,  92 ;  the  figures  in 
manufacture  for  1909,  92 ;  the 
increase  from  1899  to  1909,  92  ; 
comparison  of  earnings  on  the 
business  side  and  on  the  man- 
ufacturing side,  93  ;  the  prob- 
able increase  since  1909,  94 

Census  statistics,  91 ;  explanation 
of,  94-96 ;  industrial  statistics 
and  business  opportunities,  96 ; 
value  of  products,  by  indus- 
tries, 1909  and  1899,  97;  Table 
I,  continental  United  States 
and  noncontiguous  territory, 
1909,  98;  Table  II,  general 
comparison  for  the  United 
States,  1909,  1904,  and  1899, 
99 ;  Table  III,  comparison 
with  earlier  censuses,  100  ;  ac- 
companying statement,  101  ;  ■ 
manufacturing  centers  of  the 


213 


214 


BUSmESS  EMPLOYMENTS 


United  States,  102  ;  per  cent 
distribution  of  average  number 
of  wage  earners,  by  industries, 

1909,  103;  Table  IV,  list  of 
the  states  according  to  num- 
bers of  wage  earners  in  manu- 
facture, 1909,  104;  Table  V, 
list  of  leading  cities  in  the 
United  States  according  to 
numbers  of  wage  earners  in 
manufacture,  1909,  105;  Table 

VI,  distribution  according  to 
size  of  communities,  106;  Table 

VII,  summary  of  persons  en- 
gaged in  manufacture  in  the 
United  States,  1909, 107;  Table 

VIII,  comparison  of  occupa- 
tional status  of  1904  and  1909, 
108;  Table  IX,  number  and 
proportion  of  persons  in  the 
general  divisions  of  occupa- 
tions. Number  and  per  cent  of 
distribution,  U.  S.  census,  1910, 
178 ;  Table  X,  number  and 
proportion  of  persons  in  the 
general  divisions  of  occupa- 
tions. Number  and  per  cent  of 
distribution  by  decades,  1880- 

1910,  179;  Table  XI,  distribu- 
tion by  general  divisions  of 
persons  10  years  of  age  and 
over  engaged  in  gainful  occu- 
pations, by  divisions  and  states, 
1910.  Trade  and  transporta- 
tion, 180,  181  ;  Table  XII, 
number  of  persons  10  years  of 
age  and  over  engaged  in  speci- 
fied occupations.  Arranged  ac- 
cording to  the  classification  of 
1900,  for  both  sexes  and  for 
each  sex  separately,  1880-1910, 
132,  183 ;  A^  growth  in  num- 
bers of  banks,  1900,  1905,  and 
1910,  199;  B,  growth  of  na- 
tional banks  from  1900  to  1910, 
199 ;  C,  chief  items  of  the 
aggregate  resources  and  liabil- 
ities of  national  banks  in  1900, 
1905,  and  1910,  200 ;  i),  chief 
items    of    the    aggregate    re- 


sources and  liabilities  of  state 
banks  for  1910 ;  E,  chief  items 
of  the  aggregate  resources  and 
liabilities  of  loan  and  trust 
companies  in  1910,  200 ;  F, 
number  of  savings  banks  in 
the  United  States,  number  of 
depositors,  amount  of  savings 
deposits,  average  amount  due 
each  depositor,  and  average 
per  capita  in  the  United  States, 
1900-1910,  201 
Charge-account      bookkeeping, 

the,    139 
Charts,  the  use  of,  9 
Checking  department,   the,   83 ; 

positions  in,   83 
Civil  War,  the,  66,  67 
C.  O.  D.  division,  the,  139 
Collecting  agency,  the,  141 
Collection  clerk,  the,  193 
Collection  department,  the,  46 
Commercial    positions,    number 

of,   8 
Comptroller  of  the  currency,  an- 
nual report  of,  198;  statistics 
compiled  from  the  reports  of, 
199-201 
Construction,     the    division    of 

supply  and,    131 
Copy  writer,  the,  145 
Corporation,  secretary  to  the,  17 
Correspondence  department,  the, 

44  ;  positions  in,  45 
Corresponding  clerk,  the,  193 
Cost  department,  the,  86 
Credit    and    collection    depart- 
ment, the,  46,  138 ;   positions 
in,  46 
Credit  department,  the,  41,  46 ; 
manager  of,  47 

Day  sheet,  the,  43 ;  the  cutting- 
room  portion  of  a  typical,  43,  44 

Delivery  system,  the,  132  ;  posi- 
tions in,  132 

Department  store,  the,  113  ;  na- 
ture of,  113  ;  from  the  public 
point  of  view,  114  ;  the  rise  of, 
116;  competition,  117;  future 


INDEX 


215 


of,  117  ;  mode  of  treatment  of, 
in  this  study,  118 ;  chart  of  or- 
ganization of,  119  ;  four  major 
divisions  of,  119 ;  additional 
activities  of,  176  ;  summary  of 
positions  in,  172-175;  positions 
not  limited  to,  176 

Directors,  the  board  of,  15,  190 ; 
chairman  of  the  board  of,  17 

Discount  clerk,  the,  192 

Dispatch  department,  the,  76 ; 
the  day-sheet  section  of,  77  ; 
the  tracing  section  of,  78  ;  po- 
sitions in,  78 

Display  rooms,  the,  56 

Educational  department,  the,  131 ; 
office  of,  156  ;  director  of,  158 

Efficiency  bulletins,  155 

Efficiency  department,  the,  78- 
80  ;   positions  in,  80 

Efficiency  engineer,  the,  19 

Efficiency  expert,  the  profes- 
sional, 20 

Efficiency  manager,  the,  19 

Efficiency  records,  156 

Efficiency  work,  example  of  a 
firm  conducting,  79 ;  a  con- 
servative view  of,  79 

Employees,  as  stockholders,  14  ; 
the  hiring,  transferring,  and 
discharge  of,  25 ;  secured  by 
advertising,  26 ;  typical  regu- 
lations for,  30-33  ;  training  of, 
33  ;  seasonal  increase  and  de- 
crease in  number  of,  in  depart- 
ment stores,  148  ;  the  relative 
divisions  of,  in  department 
stores,  151 ;  pay  and  promotion 
of,  in  department  stores,  161, 
164-167  ;  suggestions  from  an 
employer  to  young  persons, 
161-163 ;  some  qualities  re- 
quired   in,    163 

Employment  or  labor  depart- 
ment, the,  13,  25  ;  methods  of, 
26;  a  division  of,  33;  positions 
in,  34,  129;  a  central  office  for, 
34 ;  office  of,  129 ;  manager  of, 
34,  130  ;  the  problem  of,  37 


Exchange  clerk,  the,  193 
Executive  committee,  the,  15 
Executive  offices,  the,  25;  employ- 
ment opportunities  in,  25 
Executive  officers,  the,  of  a  cor- 
poration, 14 ;  requirements  for, 
23 ;  salaries  of,  24 ;  of  a  bank, 
190,  191 
Expense,   the   division  of,    131 ; 
positions  in  the  division  of,  131 
Expense  department,  the,  86 
Expense  man,  the,  131 
Expense  manager,  the,  86,  87 

Factory  apprentice  course,  70 
Factory  offices,  the,  71-74 ;  chart 
of,  73  ;  requirements  for  serv- 
ice in,  90 
Factory  physician,  the,  88,  90 
Fatigue,  influences  making  for, 

150 
Federal  Reserve  Act,  the,  189 
Federal  reserve  banks,  187,  189 
Floor  boy,  the,  130 
Floor  clerk,  the,  130,  135 
Floor  manager,  the,  135 
Floor  superintendent,  .  the,  130, 
135  ;   topics  treated  in  lecture 
by,  155 
Furrier,  the,  176 

General  manager,  the,  14, 16,  120 

General  offices,  the,  39  ;  chart  of, 
40 ;  requirements  for  service 
in,  68 

General  superintendent,  the,  14, 
129,  133 

Government  investigation,  quota- 
tion from  a,  171 

Head  of  a  concern,  the  responsi- 
bility of,  19 
Hospital,  the,  88 

Industrial  counselor,  the,  38 
Industrial    development   expert, 

the,  38 
Industrial  service,  88 
Industrial-service      department, 

the,  13,  89 ;  positions  in,  89 


216 


BUSINESS  EMPLOYMENTS 


Industries,  the  manufacturing,  6, 
91 ;    sex  and  age  distribution 
by,  108;  statistics  in,  91,  94- 
96,    97-99,    100-108,    178-183, 
199-201 
Industry,  runs  to  big  enterprises, 
9  ;  dissecting  an,  9 ;  the  shoe, 
10 
Information  bureau,  the,  151 
Information  ofl&ce,  the,  68 
Invention,  era  of  active,  6 

Job  room,  the,  53 

Labor,   the  supply  of,  35 ;    the 

turn-over  of,  36 
Labor  department,  the,  25 
Line  organization,  21 ;  chartof ,  11 

Mail  clerk,  the,  193 

Mailing  department,  the,  57 ; 
positions   in,    57 

Mail-order  department,  the,  132  ; 
positions  in,  132 

Managers,  the  board  of,  121 

Manufacture,  the  nature  of,  91  ; 
organization  in,  8 ;  chart  of 
organization  in,  11  ;  organiza- 
tion in  shoe,  12  ;  the  percent- 
age of  persons  on  the  business 
side  of,  12,  107,  109 

Manufacturing  corporation,  the, 
14  ;   executive  officers  of,  14 

Marking  room,  the,  123 ;  posi- 
tions in,  123 

Merchandise,  departments  of, 
120 

Merchandise  conferences,  156 

Merchandise  department,  the, 
122  ;  diagram  of,  127 ;  the  boy 
in,  127 

Merchandise  manager,  the,  125 ; 
assistant,  126 

Merchandising,  119,  122 

Messenger  service,  the,  37,  69,  87, 
189  ;  promotion  from,  87 

Mill  agent,  the,  16 

National  Bank  Act,  the,  187 
National  banks,  187 


Office  department,  the,  138  ;  na- 
ture of,  138 ;  simple  divisions 
of,  138  ;  diagram  of,  140  ;  posi- 
tions in,  in  the  highly  organized 
store,  140  ;  the  boy  in,  142 

Office  manager,  the,  39,  44 

Office  work,  divisions  of,  in  the 
highly  organized  store,  138 

Order  department,  the,  41 ;  posi- 
tions in,  44 

Order  form,  42 

Orders,  the  receipt  and  handling 
of,  41 

Paying  teller,  the,  192 
Payment  department,  the,  139 
Pay-roll  department,  the,  83 
Physical  conditions,  150 
Physical  director,  the,  90 
Post-office  station,  the,  151 
President,  the,  of  a  corporation, 

14,  15  ;  of  a  department  store, 

120,  172;  of  a  bank,  190 
Publicity  department,    the,   53 ; 

positions  in,    56 
Publicity  manager,  the,  144 
Purchase-records      department, 

the,  139 
Purchasing  agent,  the,  51 
Purchasing  department,  the,  50  ; 

positions  in,  51 

Raw  material,  7;  office  or  depart- 
ment of,  80 

Receiving  department,  the,  52  ; 
positions  in,  53 

Receiving  room,  the,  122  ;  posi- 
tions in,  122 

Receiving  teller,  the,  192 

Record  cards,  employee's  29,  30, 
33  ;  employee's  w^eekly,  84  ; 
pieceworker's,    85 

Recording,  119 

Records  of  business  transactions, 
8 

Refund  desk,  the,  151 

Requisition    form,     a    typical, 
82 

Returned-goods  department,  the, 
122 


INDEX 


21T 


Sales  department,  the,  58  ;  posi- 
tions in,  60  ;  a  statistical  divi- 
sion in,  60 

Sales  manager,  the,  14,  47,  61 ; 
assistant,  60 

Sales  people,  130,  134-137,  151, 
155 

Salesmanship,  requirements  for 
successful,  135 ;  diagram  of 
requirements  for,  136  ;  the 
school  of,  154 ;  class  work  in 
the  school  of,  154 

Sample  department  or  rooms, 
the,  60 

Savings  banks,  187,  188,  190 

Schedule  department,  the,  82  ; 
positions  in,  82 

School  enrollment  in  outside 
courses,  156 

Scientific  management,  21 

Seasonal  changes,  diagram  of,  149 

Seasonal  increase  in  trade,  148, 
149 

Secretary,  the,  of  a  manufactur- 
ing corporation,  ]  4 ;  to  the 
president,  17  ;  to  the  corpora- 
tion, 17  ;  of  a  modern  business 
house,  120,  172 

Selling  department,  the,  129 ; 
positions  in,  130 ;  the  boy  in, 
136  ;  basis  of  pay  in,  137 

Service,  conditions  of,  148 ; 
hours  of,  148  ;  competition  in, 
151  ;  where  the  way  divides 
in,  151 

Shipper,  the  head,  132 

Shoe  industry,  the,  10  ;  chart  of 
organization  in,  11 ;  oppor- 
tunities for  many  kinds  of 
employment  in,  12 

"  Silent  salesman,"  the,  59 

Social  features,  in  the  factory, 
88-90 ;  in  the  department 
store,  156-160 ;  a  mutual-aid 
association,  157  ;  an  insurance 
or  mutual-benefit  association, 
157  ;  a  savings-deposit  system 
for  employees,  157  ;  a  medical 
department,  157 ;  the  lecture 
committee,    157  ;    the    library 


committee,  157;  the  suggestion 
committee,  157  ;  the  entertain- 
ment committee,  157 ;  the 
club-house  committee,  158 ;  the 
music  committee,  158 ;  a  store 
paper,  158  ;  workers  in  this 
division,  158  ;  a  sample  daily 
club  report,   158-160 

Social-service  work,  153-160 ; 
nature  of,  153  ;  three  lines  of 
opportunity  in,  154 

Special  schedule,  the,  43 

Staff  organization,  21  ;  chart  of, 
22 

Standard  Oil  Company,  the,  12 

State  banks,  187,  188 

Statistical  department,  the,  140 

Statistics.    See  Census  statistics 

Stenographic  department,  the,  45 

Stock,  the  care  of,  135 

Stock  exchange,  the,  188 

Stock  force,  the,  130 

Stock  room,  the,  123 ;  positions 
in,  123 

Stockholders,  14 

Stock-record  department,  the, 
140 

Store  detective,  the,  176 

Store  management,  diagram  of, 
133,  134, 

Store  manager,  the,  129,  133 ; 
advice  from  a,   168 

Store  managing,  119 

Store  organizations,  consolidated 
daily  report  of,  158-160 

Store  superintendent,  the,  133 

Superintending,  129 ;  divisions 
and  positions  in,  129  ;  the  more 
important  positions  and  fea- 
tures of,  132 

Supply  and  construction,  the 
division  of,  131  ;  positions  in 
the  division  of,  131 

Supply  department,  the,  81 ;  posi- 
tions in,  82 

Tabulating  system,  the,  77 
Tag    department,   the,    75 ;    the 
foreman's  tag,    75,    76 ;    posi- 
tions in,   76 


218 


BUSINESS  EMPLOYMENTS 


Trade,     seasonal     increase    in, 
148 

Trq,ining,  educational,  154,  164 ; 
administrative,  155  ;  required 
for  banking,  196 

Traveling  salesman,  the,  61  ; 
educational  or  other  require- 
ments for,  62  ;  a  typical  quota- 
tion on  the  general  work  of, 
62  ;  advantages  of,  63  ;  pay  and 
routine  of,  63 ;  disadvantages 
in  the  life  of,  65;  rise  of  the 
modern,   66 

Treasurer,  the,  of  a  manufactur- 
ing corporation,  14,  15 ;  of  a 
modern  business  house,  120, 
172;    of   a  bank,    190 

Trust  companies,  187,  188 

Tube  system,  the,  130 


United  States,  the,  a  manufac- 
turing nation,  6 ;  dealers  in 
a  single  line  in,  58.  See  also 
Census  statistics 
University-extension  courses,  156 
Upper-leather  ofl&ce,  the,  80 ; 
positions  in,  81 

Vacation,  150 

Vocation,  choice  of,  like  making 
an  investment,  5 

Vocational  guidance,  156 

Vocational  opportunities,  in 
manufacturing,  12,  13,  69  ;  in 
the  department  store,  152-156 

Welfare  manager,  the,  89,  158 
Welfare  work,  150,  153-160 
Women  in  department-store  serv- 
ice, 151,  171,  172 


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